Maersk Line Will Pay Millions to Government and Whistleblower in Settlement

03/06/2012 // San Francisco, CA, USA // Whistleblower Law Firm (Press Release) // Jeffrey Keller // (press release)

News sources report that Maersk Line must pay $31.9 million for overcharging the United States government for shipments to United States soldiers in Afghanistan and Iraq. The Danish company’s American subsidiary recently settled a qui tam lawsuit filed in San Francisco by agreeing to pay $18.4 million for overcharges and interest and $13.5 million in penalties. The whistleblower that alerted the government to the company’s conduct will receive $3.6 million for his efforts in exposing the fraudulent activity.

The whistleblower, Jerry H. Brown II, uncovered the overcharges. He also uncovered overcharges in war-related shipments sent by his former employer, American President Lines. American President Lines previously agreed to pay $26.3 million, including $5.19 million to Brown, to settle the matter.

The government joined Brown’s lawsuit against Maersk Line after conducting an investigation of his claims. The lawsuit alleged that Maersk Line charged excessive amounts for refrigerated containers holding perishable cargo at United States military bases and at a port in Pakistan, billed for tracking and security services that it failed to provide or only partially provided, and charged excessive late fees at a port and other locations.

When a whistleblower’s information exposing fraud against a state government or against the federal government leads to a recovery for the government, the whistleblower is entitled by law to a percentage of the government’s recovery. If you believe someone has committed fraud against a state government or against the federal government and you would like to discuss your concerns with a qui tam attorney, contact the whistleblower lawyers at Keller Grover LLP at 866.486.1537 or via email at [email protected]

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