The United States Department of Justice is reporting that AT&T Missouri is agreeing to pay $1.4 million to the United States as part of a settlement related to a civil case related to the E-rate Program. The United States contended that AT&T Missouri violated program rules by providing false information to the E-rate program and engaged in non-competitive bidding practices. Allegations also included collusion between officials of the Kansas City, Missouri School District and employees of AT&T Missouri.
American Fiber Systems, Inc. brought the matter to light by filing a False Claims Act lawsuit in Missouri federal court. Under the act, private parties can sue on behalf of the United States and share in any recovery. According to a press release issued by the Department of Justice , American Fiber Systems, Inc. will receive approximately $200,000 out of the settlement amount.
