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Wednesday, December 11, 2019

Massachusetts electrical, lighting supplier to pay $2.3 million for alleged overbilling

State AG

By Marian Johns | Jul 30, 2018

Law money 10

BOSTON — Massachusetts Attorney General Maura Healey's allegations that a Quincy-based electrical and lighting product supplier overbilled hundreds of state entities, have been resolved with a $2.3 million settlement. 

Healey filed an assurance of discontinuance in Suffolk Superior Court resolving allegations against Granite City Electric Supply Company, which she says did not implement controls, prices and procedures so that its pricing followed contract obligations.  According to the attorney general, Granite City violated the state's False Claims Act and the Consumer Protection Act.

“This company engaged in a pattern of overbilling that cost hundreds of government agencies – including school districts, cities, and towns –  millions of dollars,” Healey said in a statement. “We are pleased to be returning money to those public bodies.”

According to the settlement, Granite City will pay $1.18 million to 285 public entities for overcharges and an additional $1.18 million to the Attorney General's Office for the state's general fund.  Granite City is also prohibited from participating in public contracts for one year during which time it will institute changes in its business practice, according to Healey's office.


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