$61 Million False Claims Act Roofing Settlement--RPM International, Inc. and Tremco, Inc. Government Services Administration (GSA) False Claims Act Case

Aug 28, 2013, 14:52 ET from Murphy Anderson PLLC

WASHINGTON, CINCINNATI and BOSTON, Aug. 28, 2013 /PRNewswire/ -- Murphy Anderson PLLC announces unsealing of a $60,058,963 Department of Justice GSA settlement with RPM International, Inc., and Tremco, Inc.  Medina, Ohio-based RPM and Tremco, its subsidiary, paid $61 million to settle claims that Tremco submitted false claims to the United States, between 2002 and 2011.

Gregory Rudolph, Rocky River, Ohio, filed his whistleblower suit in 2010 alleging that Tremco illegally overcharged government agencies (Army, Air Force, VA Hospitals, others) for roofing products and services, via the federal GSA Multiple Award Schedule (MAS) purchasing system. The United States investigated and intervened in his False Claims Act qui tam complaint. The United States will share 17.9% of the $61 million settlement with Rudolph.

Greg Rudolph voluntarily resigned as a Tremco vice president so he could honestly report the alleged nationwide scheme. During the investigation, Rudolph educated federal attorneys and investigators about roofing. His new business, Raw Solutions, Inc., struggled in a down economy—aiming to provide quality, fairly-priced roofing and reputable roofing consultants. 

If Greg Rudolph had not courageously reported to the Government, it would never have known—and never recovered the $61 million. His brave efforts saved taxpayers millions of dollars. Rudolph's actions demonstrate that contractors must play by the rules when selling to the Government.

Attorneys Ann Lugbill of Cincinnati and Mark Hanna, with Murphy Anderson PLLC's D.C. office, represented Greg Rudolph, with Ann-Marie Ahern of Cleveland, Ohio.  Ms. Lugbill co-authored False Claims Act: Whistleblower Litigation and Representing the Terminated Employee in Ohio. Government attorneys include Beverly Russell, DC Assistant US Attorney and Arnold Auerhan, US Department of Justice.

Murphy Anderson proudly participates in NELA-National Employment Lawyers Association (NELA) and watchdog group Taxpayers Against Fraud. The public interest firm's clients include whistleblowers in healthcare, construction, and GSA pricing fraud. The whistleblower practice includes international fraud schemes, owing to firm language expertise. Murphy Anderson represented the late Glenn DeMott, Columbus, Ohio, who participated in the 2009 record-breaking $2.3 billion Pfizer whistleblower settlement. Murphy Anderson attorneys have counseled dozens of successful False Claims Act, SEC, and IRS whistleblowers. 

The False Claims Act pays bounties to confidential whistleblowers working with the US Government to recover funds fraudulently obtained--over $25 billion since 1986.


Ann Lugbill (513) 784-1280/513-235-6655(m)

Mark Hanna (202) 223-2620



SOURCE Murphy Anderson PLLC