Company agrees to pay nearly $1.4M for underpaying Army and Air Force base food service provider

Wright-Patterson Air Force Base is located in Greene and Montgomery counties and is the Dayton region’s largest employer. FILE

Wright-Patterson Air Force Base is located in Greene and Montgomery counties and is the Dayton region’s largest employer. FILE

Wright-Patterson Air Force Base was among U.S. Army and Air Force bases included in a settlement for rebate underpayments, the U.S. Department of Justice announced Tuesday.

Darling Ingredients Inc., headquartered in Irving, Texas, agreed to pay nearly $1.4 million to the Army and Air Force Exchange Service, the U.S. Department of Justice stated in a release. Darling denied any wrongdoing.

Darling and its subsidiary Griffin Industries Inc. had contracts to collect used cooking oil from food establishments on military bases and provide a rebate. According to a False Claims Act filing, from at least 2008 to November 2019, Darling submitted inaccurate reports to the AAFES to undercut their contract.

The settlement announced Tuesday was the result of a joint effort by the U.S. Attorney’s Office, Southern District of Ohio, the Defense Criminal Investigative Service, Air Force OSI and Army CID, Special Agent-in-Charge Leigh-Alistair Barzey, DCIS Northeast Field Office, said.

“DCIS is committed to protecting the integrity of the defense procurement system by working with its law enforcement partners to identify and investigate companies that fail to meet their contractual obligations with the U.S. Department of Defense,” Barzey said in the release.

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