Space Agency Says Contractors ‘Systematically Defrauded The Government’

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Kennedy Space Center’s vehicle fleet managers “systematically defrauded the government” out of nearly $400,000 by replacing thousands of tires too soon, a new lawsuit claims.

NASA and the General Services Administration are taking URS Federal Services, Inc. and Yang Enterprises to court for their “undocumented and unreasonable” tire replacement, according to a complaint filed in federal district court in Orlando. The False Claims Act lawsuit says the company wrongly filed more than 1,000 claims for early tire replacement between 2009 and 2015.

“While isolated, this particular fraud involves the undocumented and unreasonable early replacement of tires for which URS and Yang agreed to serve as the fleet manager at Kennedy Space Center,” the complaint reads. “Rather than be a mere technical or trivial problem, to the contrary, URS and Yang have received more than $387,000 in illegally gotten moneys due to their actions.”

URS, which has a $1.4 billion contract with the Kennedy Space Center to manage its 400-vehicle fleet, once billed the government $1,800 to replace tires six times in barely two years.

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