September 02, 2015

Parsons to Pay $3.8M to Settle Employee Expenses Case

By ExchangeMonitor
Parsons Government Services will pay $3.8 million to resolve claims that it intentionally charged the Department of Energy for “ineligible or inflated” personnel relocation expenses in its position as the lead builder of the Salt Waste Processing Facility (SWPF) at the Savannah River Site, the Department of Justice said on Wednesday.
 
Under the company’s contract to build the facility, Parsons could charge the federal government for the relocation, food, lodging, and transportation costs eligible employees paid while moving for an assignment at the SWPF, according to a DOJ press release. Eligibility rules include employees having a permanent home at their prior location. However, Parsons was alleged to have "sought and obtained reimbursement for these relocation expenses under the SWPF contract even for employees it knew did not qualify for these payments under the terms of the contract," the DOJ said.
 
The resolution of the investigation included "no determination of liability," the press release says. In a prepared statement, Parsons said the "dispute is not related to Parsons’ performance on the SWPF contract. Parsons denies the allegations set forth by the United States but has opted to settle the dispute because the corporation has determined that the costs of continuing the dispute would far exceed the amount in dispute and would continue to divert valuable resources from its core mission of supporting its customers."

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