Ahern Painting Contractors Inc Reaches $3M Deal To Settle Fraud Suit – Law360

Ahern Painting Contractors settled with the feds for $3 million
Ahern Painting Contractors settled with the feds for $3 million.
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Law360 (November 1, 2019, 4:48 PM EDT) — One of three public works contractors accused of defrauding the government out of millions of dollars by exploiting a program for disadvantaged business entities agreed Thursday to fork over $3 million to resolve the claims in New York federal court.

Ahern Painting Contractors Inc. settled allegations that it lied about subcontracting painting and construction work to Tower Maintenance Corp., a DBE, when Spectrum Painting Corp. actually fulfilled those duties. As part of the deal, Ahern admitted its unlawful conduct and agreed to cooperate with the government in other undisclosed investigations.

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Prosecutors sued Ahern, Spectrum and Tower in March for violations of …