Trelleborg AB, a Swedish manufacturer of marine fenders and hose, along with 13 other corporations and individuals, paid the government approximately $15.4 million to settle civil allegations that they engaged in bid-rigging and price-fixing to fraudulently overbill the Navy and other federal agencies.

Allegedly, Trelleborg and four of its subsidiaries conspired to submit rigged bids, fix prices and allocate market shares on marine fenders and plastic pilings that the Navy and other federal departments and agencies purchased.  The lawsuit also implicated Frank March, and two corporations he formerly controlled, in the conspiracy. 

In addition, the lawsuit alleged that other companies, along with Trelleborg, conspired to commit the same fraudulent acts with respect to marine hose that various federal agencies purchased. 

The $15.4 million payments resolve a “whistleblower” lawsuit under the qui tam provisions of the federal False Claims Act.  The suit was filed by Douglas Farrow, an executive at a Trelleborg competitor.  In accord with the False Claims Act, Mr. Farrow will receive between 15 and 25 percent of the recovery.