Fraud charges over Agility US military contracts may be dropped
Prosecutors move to dismiss criminal proceedings
The US may drop the indictment against one of Kuwaiti logistics firm Agility’s subsidiaries over fraud charges related to military logistics contracts.
Agility said the US Attorney’s office in Atlanta on Monday moved to dismiss the indictment against Agility DGS Holdings.
“The prosecutors’ motives for seeking a dismissal at this time are unknown,” Agility said.
“However, this request comes after motions filed by Agility DGS Holdings to discover the government’s evidence against it, including price negotiation memoranda, a set of exculpatory materials that the government has worked tirelessly to conceal from the public for over three years.”
In November 2009, Agility was charged with inflating prices and defrauding the US government of at least US$68 million while supplying US armed forces in Kuwait, Iraq and Jordan.
The firm added: “As we have consistently maintained since the outset of this litigation, this case should never have been brought in the first place in a criminal court.
“This case is, at most, a civil contract dispute over the interpretation of a contract drafted by the government.
“We remain committed to attempting to resolve this civil contract dispute, so that the distraction of litigation is removed and we can continue to focus on our business, including providing the excellent service to the troops that they have come to expect from us.”
In June, Agility was labelled a “fugitive from justice” by US federal prosecutors that asked a judge to push ahead with fraud charges.
Agility said the US Attorney’s office in Atlanta on Monday moved to dismiss the indictment against Agility DGS Holdings.
“The prosecutors’ motives for seeking a dismissal at this time are unknown,” Agility said.
“However, this request comes after motions filed by Agility DGS Holdings to discover the government’s evidence against it, including price negotiation memoranda, a set of exculpatory materials that the government has worked tirelessly to conceal from the public for over three years.”
In November 2009, Agility was charged with inflating prices and defrauding the US government of at least US$68 million while supplying US armed forces in Kuwait, Iraq and Jordan.
The firm added: “As we have consistently maintained since the outset of this litigation, this case should never have been brought in the first place in a criminal court.
“This case is, at most, a civil contract dispute over the interpretation of a contract drafted by the government.
“We remain committed to attempting to resolve this civil contract dispute, so that the distraction of litigation is removed and we can continue to focus on our business, including providing the excellent service to the troops that they have come to expect from us.”
In June, Agility was labelled a “fugitive from justice” by US federal prosecutors that asked a judge to push ahead with fraud charges.
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