Former employees claim General Motors Corp. and two other U.S. government contractors sold faulty generators to the Navy. The qui tam suit seeks $100 million in damages, which could be tripled under the provisions of the False Claims Act.
The suit alleges that generators made by General Tool Co., Allison Engine Co. and Southern Ohio Fabricators didn’t meet U.S. specifications. and that the companies falsified documents and failed to do inspections.
The Detroit Free Press ran an article on the suit on February 1, 2005.