Feds: Malvern Company Bilked Philadelphia Out of $556,633
Federal prosecutors have charged Airmatic, a Malvern company, with defrauding the City of Philadelphia out of $556,633. The company, the Inquirer’s Robert Moran reports, was charged in an information rather than an indictment — usually a sign the company is set to plead guilty.
Airmatic is accused of submitting fraudulent invoices to the city to hide the off-contract items it was purchasing. One scheme, prosecutors say, saw the company charge the city $1,108.80 for 12 rakes costing $46.99 each ($563.88). According to the information, the company submitted fraudulent charges like this from January 2007 to August 2012.
The maximum charges Airmatic could face are five years probation, restitution, and several fines. (Don’t worry, of course no one goes to prison for stealing $550,000.)