UPS to pay $8.four million to resolve U.S. overcharging probe

WASHINGTON (Reuters) – United Parcel Service Inc has agreed to pay america $8.four million to resolve allegations it overcharged federal companies for bundle supply providers, the U.S. Justice Division stated on Friday.

The settlement resolves allegations that from 2007 to 2014, UPS did not observe a Common Providers Administration (GSA) contract requiring it to offer companies with sure agreed reductions, ensuing within the authorities paying greater than it ought to have for bundle deliveries, the federal government stated.

The Justice Division stated there was no willpower of legal responsibility within the settlement that covers floor supply service.

“Contractors are anticipated to fastidiously adjust to the pricing necessities of GSA contracts and different federal contracts,” stated Assistant Legal professional Common Jody Hunt of the Justice Division’s Civil Division. “This settlement demonstrates that the federal government will maintain accountable contractors that overcharge federal companies by failing to observe the pricing phrases of federal contracts.”

UPS stated in a press release that the “allegations stem from good religion variations relating to contract interpretation and have been resolved as a contractual matter.”

The corporate added that it “maintains a robust relationship with its authorities prospects and helps the vital work of federal companies below many contractual automobiles, together with the one at concern right here.”