California company ordered to pay $132,000 for false invoices to state and local governments

By: KAKE News Email
By: KAKE News Email

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Topeka, Kan. -- A California company has been ordered to pay $132,000 in penalties for falsely billing Kansas state and local agencies.

UST Development, Inc., doing business as US-Telecom, Inc., was ordered to pay the penalty in Shawnee County District Court after a judge found that the company violated the Kansas False Claims Act.

US-Telecom was found to have sent at least 12 invoices to various state agencies and local governments for a “telecom maintenance agreement.” None of the agencies had any previous dealings or contact with the company prior to receiving the invoice.

The invoices arrived in early 2012. Kansas Attorney General Derek Schmidt filed suit against the company in October of 2013.

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