Agility to settle out of court?
Agility is reportedly negotiating a multi-billion settlement with the US government relating to charges of alleged fraud on contracts worth $8.5 billion.
A court hearing scheduled for the end of last month is now slated for Feb.8 according to an Agility statement posted to the Kuwait stock exchange web site.
Last November, a federal grand jury in Atlanta, GA returned a six-count indictment against Agility under its previous name, the Kuwait-based Public Warehousing Company.
The US government claims that since 2003 Agility and CEO Tarek Abbul Aziz Sultan Al-Essa, have made false claims for payment to supply food for the US military in Kuwait, Iraq and Jordan.
In July 2009 Agility announced it had been awarded US army contracts worth over $6.0 billion with DynCorp International and CH2M Hill for logistics support in Afghanistan. On Dec. 17, 2009, Agility announced that DynCorp had stopped using it as subcontractor for the Afghan contract.
As negotiations continue with the US government, the company reportedly failed to reach a $600 million out-of-court settlement in December.
