Novum Structures to plead guilty to the alleged use of improper foreign products

By Mark Iandolo | Jan 7, 2016

WASHINGTON (Legal Newsline) – The Justice Department announced that Novum Structures LLC has agreed to plead guilty and pay $3 million to resolve allegations of improperly using foreign materials on construction projects involving federal funds.

Novum, a Wisconsin-based architectural firm, allegedly violated the “Buy America” requirements – the contractual provisions implementing various domestic preference statutes. The new agreement resolves allegations that Novum repackaged materials and falsified documents in order to hide its use of foreign materials. It will pay a $500,000 fine.

“When taxpayer dollars are provided for construction projects, the government expects contractors to comply with all requirements, including ones that ensure the money remains in the U.S. economy,” Principal Deputy Assistant Attorney General Benjamin C. Mizer, head of the Justice Department’s Civil Division, said. “This settlement shows that the Department of Justice is committed to pursuing claims against contractors that put financial gain ahead of complying with the law.”

Novum will also pay $2.5 million to resolve alleged False Claims Act violations. The Justice Department had alleged that Novum’s submissions of false claims involved knowingly violating its contractual obligations by using noncompliant foreign materials.

Novum agreed not to contest debarment from any future federally funded projects.

Want to get notified whenever we write about U.S. Department of Justice ?

Sign-up Next time we write about U.S. Department of Justice, we'll email you a link to the story. You may edit your settings or unsubscribe at any time.

Organizations in this Story

U.S. Department of Justice

More News

The Record Network