Caddell to Pay $1.15M for False Claims Re: Hiring Native American Business

Alabama-based Caddell Construction has agreed to pay a $1.15 million settlement to resolve allegations that they violated the False Claims Act by knowingly making false reports to the Army Corps of Engineers that they had hired and were mentoring a Native American-owned company to work construction projects, the U.S. Department of Justice announced.

The United States alleged that from 2003 to 2005, Caddell falsely represented in invoices and supporting documents that it was mentoring Mountain Chief Management Services to perform work on construction projects at Fort Bragg, N.C. and Fort Campbell, Ky.  The mentorship of Mountain Chief Management Services was part of Caddell’s contract with the Army Corps of Engineers, and Caddell received reimbursements and rebates under the Mentor-Protégé and Indian Incentive Programs.  However, as alleged by the government, Mountain Chief was a pass-through entity used by Caddell to enable Caddell to claim payments and did not actually perform the work or receive any mentoring.

The Chanler Group, in association with the Hirst Law Group, represents whistleblowers who take action under the False Claims Act to report fraud committed against the federal and state governments.  We have years of experience representing whistleblower clients who expose every kind of fraud against the government, including health care fraud, contract fraud, and tax fraud.  Read more about our expertise in False Claims Act cases and how you can take action.