March 14, 2022
Freight carriers YRC Freight Inc.
, Roadway Express Inc.
, and Yellow Transportation Inc.
will pay $6.85 million
to resolve government claims that they knowingly overcharged the Department of Defense on military freight shipments. Whistleblower James Hannum
, a Yellow Transportation employee, filed a qui tam
action alleging that the companies had a practice of re-weighing shipments and, when the reweighs showed an increase from the original weight, defendants charged DOD for these higher weights, but when the reweighs showed a decrease from the original weight, defendants allegedly concealed the lower weight and instead charged DOD for the original, inflated weights. Hannum will receive a whistleblower award of approximately $1.3 million