UPS will cough up $8.4 million to the federal government, who claimed the package giant overcharged them

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UPS will cough up $8.4 million to the federal government, who claimed the package giant overcharged them
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The Department of Justice said UPS will pay $8.4 million to resolve allegations that it overcharged federal agencies for package delivery services.

The DOJ said UPS did not provide previously-agreed-upon discounts, resulting in the government overpaying for package deliveries.Visit Business Insider's homepage for more stories.

The settlement resolves allegations that from 2007 to 2014, UPS failed to follow a General Services Administration contract requiring it to provide agencies with certain agreed discounts, resulting in the government paying more than it should have for package deliveries, the government said. "Contractors are expected to carefully comply with the pricing requirements of GSA contracts and other federal contracts," said Assistant Attorney General Jody Hunt of the Justice Department's Civil Division."This settlement demonstrates that the government will hold accountable contractors that overcharge federal agencies by failing to follow the pricing terms of federal contracts.

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