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$4.25 Million Settlement With Indiana Construction Company Resolves Claims of Alleged Product Substitution

On September 10, 2020, the U.S. Department of Justice entered into a settlement agreement with Dave O’Mara Contractor, Inc. (DOCI), Padgett Trucking, Inc., Dave O’Mara Paving, Inc., David J. O’Mara, Nancy A. O’Mara, Amy L. Boswell, Robert L. O’Mara, and Daniel J. O’Mara (collectively, “the Parties”). The Parties agreed to pay a total of $4,252,736, over a period of 4 years, in restitution to the United States. The United States contended that from February 6, 2008, to December 10, 2014, DOCI caused the submission of false and fraudulent claims to the Federal Highway Administration connected to the paving of roads funded with Federal and State money. DOCI represented that its hot mix asphalt met Indiana Department of Transportation (INDOT) requirements. However, the Government alleged that DOCI frequently failed to meet the minimum requirements associated with the content of asphalt binder used in the mix. This settlement agreement was neither an admission of liability by DOCI and the other Parties nor a concession by the United States that its claims were not well founded.
DOT-OIG conducted this investigation with the Civil Division of the Department of Justice and the U.S. Attorney’s Office for the Southern District of Indiana, with significant assistance from INDOT.