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The government awards contracts to companies with histories of misconduct such as contract fraud and environmental, ethics, and labor violations. In the absence of a centralized federal database listing instances of misconduct, the Project On Government Oversight (POGO) is providing such data. We believe that it will lead to improved contracting decisions and public access to information about how the government spends hundreds of billions of taxpayer money each year on goods and services. Report an instance of misconduct »

Shaw Group

Contract Fraud at TVA Nuclear Plants

Date: 01/22/2009 (Date of Announcement)

Misconduct Type: Government Contract Fraud

Enforcement Agency: TVA

Contracting Party: TVA

Court Type: Civil

Amount: $6,200,000

Disposition: Settlement

Synopsis: The Shaw Group’s Stone & Webster Construction subsidiary agreed to pay the federal government $6.2 million to end a contract fraud investigation related to work at Tennessee Valley Authority (TVA) nuclear plants in East Tennessee and Alabama. Stone & Webster has a 10-year, $1 billion dollar-plus contract to provide modification and maintenance services for the TVA, the nation's largest public utility. The government alleged that during the period from 2003 through 2006, Stone & Webster failed to maintain required logs and provided false reports to TVA that misclassified and understated the number and severity of employee injuries in support of its claims for safety-related performance fees.