CLEVELAND – Rebecca C. Lutzko, United States Attorney for the Northern District of Ohio, announced today that Oglesby Construction, Inc., headquartered in Norwalk, Ohio, has agreed to pay the United States $942,146.40 to resolve allegations that it falsified material usage records while performing on federally subsidized contracts to apply paint striping to Ohio roadways between 2012 and 2018.

The allegations arise under the False Claims Act from a whistleblower complaint unsealed on July 19, 2023, and in which the United States intervened on July 14, 2023. The claims asserted against Oglesby are allegations only and there has been no determination of liability.

“The Justice Department is committed to eradicating fraud in all its forms to protect taxpayer dollars,” said U.S. Attorney Lutzko. “We cannot tolerate conduct that bilks the government of funds to support vital government programs.”

The Complaint alleges that Oglesby saved money on highway-striping contracts by failing to use sufficient marking material, including paint, to meet state or contractual minimum standards. Oglesby allegedly use different methods to hide its conduct.

One alleged method involved the manipulation of daily reports, which are required by the State of Ohio to monitor compliance with material usage standards. Contractors like Oglesby must assemble their reports using a tracking software application that obtains usage data from electronic devices on highway marking trucks. Oglesby allegedly...

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