Ro/ro carrier Farrell Lines and affiliated subcontractor Damco have paid civil fines of $3.66 million on charges that their employees “recreated” cargo weight tickets used to determine billing amounts for military shipments to and from Afghanistan, the U.S. Department of Justice said in an announcement Thursday.
“The price of the contract was based almost exclusively on the weight of the shipments, and documented cargo weights, consisting of ‘weight tickets’ issued by a certified commercial scale for each cargo container, needed to be included with billing invoices to the Government,” DoJ said. “With respect to the shipments at issue in this matter, USTRANSCOM discovered that 563 weight tickets submitted by Farrell to support their billing invoices were ‘recreated’ by Damco employees and not authentic weight tickets.”
Farrell Lines is a U.S. flag roll-on, roll-off carrier, part of Maersk Line, Limited, a division of Maersk Group. Farrell had subcontracted the transportation work on this contract to freight forwarder and logistics firm Damco USA, a subsidiary of Netherlands-based Damco, also part of Maersk Group.