Roofing Contractor Settles False Claims Suit For $3M

Law360, New York (December 20, 2012, 8:21 PM EST) -- A Texas federal judge on Tuesday dismissed a whistleblower suit alleging a roofing contractor paid kickbacks to win roofing contracts at the Johnson Space Center after the company and its former owners agreed to settle the action for $3 million.

U.S. District Judge Ewing Werlein Jr. signed an order of dismissal on stipulation in the government's case against Crown Roofing Services, Ray Palmer and R.D. Chatmon following a Dec. 14 phone conference at which the parties informed him they'd reached the agreement.

Former Crown employees Bobby Garrison and Rudolfo Goana initiated the False Claims Act qui tam action, and in 2009...

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