AECOM has agreed to pay $11.8 million to resolve allegations that it knowingly submitted false claims to the Federal Emergency Management Agency on behalf of schools while working on Hurricane Katrina recovery in New Orleans, the U.S. Dept. of Justice announced Oct. 24. A whistleblower working for AECOM originated the case, court records show.
FEMA hired AECOM as a technical assistance contractor supporting its disaster recovery efforts following the 2005 hurricane, according to Justice Dept. officials. In the role, Firm employees prepared project worksheets on behalf of institutional applicants whose structures were damaged by the storm. These included descriptions of damage, scopes of work and cost estimates to repair or replace structures. FEMA used the worksheets to determine the amount of public assistance funding it would supply to the applicants.