Fastenal To Pay $6.25M After Inflating Fastener Prices

Law360, New York (January 13, 2011, 5:47 PM EST) -- Hardware distributor Fastenal Co. is set to fork over $6.25 million to settle allegations that it overcharged the U.S. government in connection with a contract to sell nuts, bolts and other fasteners to federal customers.

The settlement, announced Thursday by the U.S. Department of Justice, comes on the heels of an investigation that revealed the Winona, Minn.-based company made government customers pay inflated prices for the products, the DOJ said.

According to the DOJ, the deal relates to a U.S. General Services Administartion contract under which...
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