NetComposites
3M

Toray Industries to Pay US for Price Fixing on Carbon Fibre Materials

28 May 2008

Toray Industries Inc and its U.S. subsidiary, Toray Composites (America) Inc., have agreed to pay the United States $15.25 million to settle a lawsuit alleging that they conspired to fix prices on carbon fibre.

A lawsuit, filed against the companies, alleged that, beginning at least as early as 1993 and continuing at least until 2001, Toray and its co-conspirators agreed on prices that would be charged for carbon fibre that was ultimately used in products procured by the U.S. government from other companies.

""Today's settlement should send a message to those who deal with the government, both directly and indirectly, that prices charged for products sold to the United States must be competitive,"" said Gregory G. Katsas, acting Assistant Attorney General of the Justice Department's Civil Division.

The lawsuit was originally filed on behalf of the United States by Randall Beck, Gary Beck, Tod Boretto and Kevin McLean, who, through their employer Horizon Sports Technologies Inc., had dealings with the co-conspirators. Their lawsuit was filed under the qui tam provisions of the False Claims Act, which permits private citizens, known as ""relators,"" to sue on behalf of the government to recover federal funds that were obtained by false or fraudulent claims, and to receive a share of any settlement or judgment. As a result of today's settlement, the relators will receive $4 million from the settlement with Toray.

This is the fifth and final settlement in this matter. The total recovery, including the current settlement, is $61.75 million.






Related / You might like...

Dilutec´s Gelcoats Meet Shipyard Requirements

Brazilian company Dilutec has developed a complete gelcoat portfolio for shipyards, for applications ranging from the manufacture of the boat mould to small repairs of the hulls and decks.

Norco Composites Invests in New Equipment

UK company Norco Composites has invested in a larger spray booth and a new cutting and kitting machine to enable the company to increase productivity in line with growing demand from its marine customers.

Hexagon Composites Provides Tanks for First US Hydrogen Vessel

Hexagon Composites' subsidiary Hexagon Lincoln has been selected to supply high-pressure hydrogen tanks for the first hydrogen fuel cell vessel in the US.