Architecture and construction firm Novum Structures, based in Menomonee Falls, Wis., has agreed to pay $3 million to settle civil and criminal charges that it defrauded the federal government's "Buy American" rules for contractors.
The U.S. Department of Justice charged that Novum repackaged steel and other construction materials from foreign countries and made them appear as if it were sourced in the U.S. The firm used the materials on government projects around the country.
Federal laws require the use of American-made materials in construction projects funded with federal funds. Novum specializes in glass enclosures, atriums, canopies, and skylights.
A Novum spokesman said there was never any concern about the quality of materials used, and that the non-compliant materials represented less than 3% of the value of the work Novum did on projects subject to the “Buy American” requirements. The case began with a whistle blower lawsuit that was unsealed this month.
Related Stories
Industry Research | Dec 8, 2015
AEC leaders say the 'talent wars' are heating up: BD+C exclusive survey
A new survey from Building Design+Construction shows that U.S. architecture, engineering, and construction firms are being stymied by the shortage of experienced design and construction professionals and project managers.
Market Data | Dec 7, 2015
2016 forecast: Continued growth expected for the construction industry
ABC forecasts growth in nonresidential construction spending of 7.4% in 2016 along with growth in employment and backlog.
Contractors | Dec 2, 2015
FMI: Nonresidential construction in a slowdown, according to latest NRCI score
“Economic recovery momentum is losing steam and rising costs in labor and materials start to put a load on the industry,” said Chris Daum, President and CEO of FMI.
Contractors | Dec 2, 2015
ABC releases scorecard on state policies affecting the construction industry
The scorecard website identifies states that have good environments for merit shop contractors, like Arizona, and states that could improve conditions, like New York.
Contractors | Dec 1, 2015
ABC: September's nonresidential spending retains momentum in October
Spending increased in 10 of 16 nonresidential construction sectors on a monthly basis.
Greenbuild Report | Dec 1, 2015
Data centers turn to alternative power sources, new heat controls and UPS systems
Data centers account for 2% of the nation’s electricity consumption and about 30% of the power used annually by the economy’s information and communications technology sector, according to the National Renewable Energy Laboratory.
Contractors | Dec 1, 2015
The contractor’s role in promoting job site sustainability [AIA course]
Robins & Morton’s Jackie Mustakas offers specific actions that contractors and construction managers can take to green every job site.
Contractors | Nov 30, 2015
Sundt Construction opens its own craft employee training center
The contractor's Center for Craft Excellence, in Phoenix, is in response to the labor shortages in the industry.
Contractors | Nov 24, 2015
FMI survey: Millennials in construction get a bad rap, tend to be loyal, hard-working
While the stigma exists that Millennials are entitled, disloyal, and lazy, it appears that this is not true, according to a new report from FMI.
Contractors | Nov 12, 2015
Construction will outpace worldwide GDP growth over the next 15 years
Three countries—the United States, China, and India—will account for nearly three-fifths of worldwide construction growth over the next 15 years, according to a new report from Global Construction Perspectives and Oxford Economics.