Investigations

On December 15, 2016, two Rhode Island construction firms and four principals agreed to pay $1 million as part of a civil settlement agreement. Wallace Construction Corporation was certified as a Disadvantaged Business Enterprise (DBE) and is owned by Christina Rosciti and Kim Wallace. Rosciti Construction Company is owned by Anthony Rosciti, Sr., and Henry Rosciti, Sr.

 

The civil settlement resolved allegations that the parties violated the False Claims Act by submitting claims earmarked for minority, women-owned, or small businesses that they were not entitled to receive. The allegations stated that the four principals falsly represented on numerous documents submitted to the government that Wallace Construction Corporation was a legitimate DBE. The Federal aid contracts were funded by DOT, Environmental Protection Agency (EPA), and the Department of Education (DoED).

 

The settlement agreement is neither an admission of wrongdoing or liability nor a concession by the United States that its contentions and claims are not well-founded.

 

Rosciti Construction Company, Wallace Construction Corporation, and the four principals have also entered into administrative/compliance agreements with the EPA wherein additional administrative sanctions will not be initiated if the parties submit to independent monitoring and institute a corporate compliance program.

 

This case is being conducted by DOT-OIG, EPA-OIG, and DoED-OIG.