Trade Agreements

January 5, 2016

Wisconsin-based Novum Structures LLC agreed to enter a guilty plea and pay $3 million to resolve its criminal and civil liability arising from its improper use of foreign materials in federally funded construction projects which had “Buy America” requirements.  Novum specializes in the design and construction of glass space frames often used in roofs and atrium enclosures.  The allegations originated in a whistleblower lawsuit filed by Brenda King under the qui tam provisions of the False Claims Act.  She will receive a whistleblower award of approximately $400,000 from the government’s recovery.  DOJ

October 2, 2014

Robbins & Myers Belgium S.A., a wholly-owned subsidiary of Robbins & Myers Inc., agreed to pay $1 million for violating the International Emergency Economic Powers Act and the Export Administration Regulations. Specifically, the company caused four illegal exports relating to oil extraction equipment to a customer operating oil fields in Syria. DOJ

August 19, 2014

Samsung Electronics America agreed to pay $2.3 million to resolve allegations it caused the submission of false claims for products sold on General Service Administration (GSA) Multiple Award Schedule contracts in violation of the Trade Agreements Act of 1979. DOJ

April 2, 2015

Medical device maker Medtronic plc and affiliated Medtronic companies,Medtronic Inc., Medtronic USA Inc., and Medtronic Sofamor Danek USA Inc., agreed to pay $4.41 million to resolve allegations they violated the False Claims Act by making false statements to the Department of Veterans Affairs and the Department of Defense regarding the country of origin of certain Medtronic products sold to the US.  Specifically, the government charged Medtronic with selling to the VA and DoD products it certified would be made in the US or other designated countries when in fact they were manufactured in China and Malaysia, which are prohibited countries under the Trade Agreements Act of 1979.  The allegations were first raised in a whistleblower lawsuit filed by three unidentified whistleblowers under the qui tam provisions of the False Claims Act. They will receive a whistleblower award of $749,700.  Whistleblower Insider