The suit alleges Lockport, La.-based Bollinger made material false statements to the Coast Guard under the Deepwater Program.
The government's complaint alleges Bollinger proposed to convert 110-foot patrol boats into 123-foot versions by extending the hulls 13 feet and making additional improvements. As a result of Bollinger's misrepresentations about hull strength of the converted vessels, the Coast Guard awarded a contract to convert eight Coast Guard 110-foot cutters to 123-foot cutters, the Justice Department said.
The first converted cutter, the Matagorda, suffered hull failure when put into service, the department said. An investigation by the Coast Guard and the prime contractor, Integrated Coast Guard Systems, concluded Bollinger's calculation of hull strength reported to the Coast Guard prior to the conversion was false. Efforts to repair the Matagorda and the other converted vessels were unsuccessful. The cutters are unseaworthy and have been taken out of service.
The government's suit seeks damages from Bollinger under the False Claims Act for the loss of the eight now unseaworthy vessels. The investigation of the case was conducted by the Justice Department's Civil Division, the Department of Homeland Security's Office of the Inspector General and the Coast Guard.