Fraud lawsuit against SRNS dropped after Justice Department dismissal

·1 min read

Jul. 6—A federal judge late last month dismissed a fraud lawsuit filed against Savannah River Nuclear Solutions and a subsidiary of its parent company, Fluor, after the Department of Justice sought to have its case disbanded.

U.S. District Judge J. Michelle Childs ruled on the matter June 24. The Justice Department filed a dismissal notice that same day, records show.

The feds initially sued Savannah River Nuclear Solutions, the top contractor at the Savannah River Site, and Fluor Federal Services in March 2016, alleging the pair submitted inflated claims to the Department of Energy — effectively running up a fraudulent tab.

The Energy Department contracted Savannah River Nuclear Solutions years ago to manage the Savannah River Site, the 310-square-mile nuclear reservation south of Aiken.

Portions of the initial complaint were dismissed in December 2016, court records show.

At one point, the Civilian Board of Contract Appeals got involved. The independent body — tasked with resolving disputes between government contractors and agencies — advised that the scrutinized costs were legitimate, among other things.

In its lawsuit, the Justice Department leaned on the False Claims Act, which allows the government to recoup costs, plus some, if it wins the case. Historically, the department has secured billions of dollars in settlements and judgements from cases involving proven fraud.

Documents filed with the court show Savannah River Nuclear Solutions and Fluor Federal Services do not owe the government for the now-dismissed claims.

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