A settlement has been reached in a whistleblower class action lawsuit brought against RPM International Inc and its subsidiary, Tremco Inc. They are accused of filing false claims in connection with two multiple award schedule (MAS) contracts with the General Services Administration (GSA) for roofing supplies and services.
The whistleblower will receive more than $10.9 million of the recovery in the government's case.
The whistleblower filed this action in July 2010. The federal lawsuit against RPM and Tremco alleged that, from January 2002 to March 2011, Tremco knowingly violated its contractual obligations to provide GSA with current, accurate and complete information about its commercial sales practices, to report changes in discounts to comparable commercial customers and to pass those discounts on to government customers. As a result, the government allegedly paid more than it should have for Tremco’s services and products. In addition, Tremco allegedly improperly marketed generic products as a superior line of the same product and used a defective adhesive formula in its roofing systems.
