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Navistar to Pay $50 Million to Resolve Vehicle Fraud Claims (1)

May 27, 2021, 7:34 PMUpdated: May 27, 2021, 8:41 PM

Navistar International LLC, a False Claims Act whistleblower, and federal prosecutors have agreed to a settle a suit alleging Navistar overbilled the U.S. government in connection with a contract for military vehicles used by American forces in Iraq and Afghanistan, the Justice Department said Thursday.

Navistar allegedly fraudulently induced the U.S. Marine Corps to enter into a contract change at inflated prices for a suspension system for armored vehicles known as Mine-Resistant Ambush Protected vehicles, prosecutors said.

During modification negotiations, Navistar allegedly provided fraudulent commercial sales invoices to the government to justify the company’s prices.

The government allegedly relied ...