New Year brings with it splendid new opportunitiesJanuary 4, 2016 10:46
Agility still in hot water
Agility’s high-profile tiff with the US government continues. The firm is currently in talks with the US government to settle the matter out of court.
December 29, 2009 11:20 by Dana El Baltaji
Kuwait-based Agility, the region’s largest logistics firm, announced on Monday it was meeting with the US government to discuss a possible settlement in a high-profile fraud case. However, they have not struck a deal yet.
“A deal has not been reached until now, and there are no guarantees that these negotiations would lead to a solution,” the company said in statement on the Kuwaiti bourse site.
A number of Kuwaiti newspapers reported that the logistics firm is seeking a maximum settlement of $600 million.
“Until now the final settlement has not been signed, as some of the points are still pending, however the amount is between $500 million and $600 million,” al-Qabas reported, citing an unconfirmed source. The paper added that Agility will schedule the payout over five-years.
The US government has accused Agility of overcharging the US Army on contracts worth $8.5 billion to provide food to soldiers in Iraq, Kuwait and Jordan.
If Agility is found guilty, it faces probation and a fine equal to twice its gains from its alleged fraudulent activities, or twice the US Army’s loss.
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