Big Dig contractor accused of $300,000 fraud

By Jonathan Saltzman, Globe Staff

Federal prosecutors charged a major contractor on the Big Dig and one of its managers with defrauding the government of more than $300,000 by overcharging for construction work done on the Interstate 93 tunnel.

A criminal complaint filed by US Attorney Michael J. Sullivan alleged that McCourt Construction engaged in a scheme to overbill the Central Artery/Tunnel Project by falsely categorizing apprentice ironworkers and other trades workers as higher-paid journeymen. The company also allegedly failed to verify that subcontractor bills were submitted correctly.

A separate complaint alleged that Ryan McCourt, who supervised the company's billing unit, participated in the same scheme.

If convicted of the conspiracy to defraud charge, McCourt Construction faces a fine of more than $600,000, said Sullivan's office. If convicted of conspiracy to commit fraud by making false statements on the cost of a highway project, Ryan McCourt faces as much as five years in prison and a $250,000 fine.

Three employees of Massachusetts Electric Construction Co., a McCourt Construction subcontractor, were previously convicted in federal court of submitting false claims in connection with overbilling apprentice labor at journeymen rates.

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