Meanwhile no hard hitting investigative reporting of U.S. Sen. Diane Feinstein’s husband Richard Blum, who won the first phase construction contract for California’s high-speed rail. Kinda of smelly that her husband would win a big billion dollar taxpayer boondoggle.
The company is known for shoddy work....
Critics have complained that the firm tends to bid low to win contracts and then seeks change orders and contract amendments that increase costs. It also has been embroiled in controversies involving accusations of overbilling, fraud and shoddy workmanship related to the Los Angeles subway, San Francisco International Airport and public works projects in New York.
Tutor Perini-Zachry-Parsons joint project...
“Following a four-week trial, a federal jury in Brooklyn yesterday (March 9, 2011) found Zohrab B. Marashlian, the former president of Perini Corp.’s Civil Division, an international construction services corporation, guilty of fraud and conspiracy to launder money. The charges arose out of Marashlian’s false representation to New York government agencies that Disadvantaged Business Entities (DBE’s) were performing work in connection with major public works contracts, when, in reality, Marashlian had non-disadvantaged businesses favored by Perini Corp. do the work.” Tutor Perini paid Marashlian $14 million in salary while all this was going on. Two days before Marashlian was to receive a multi-year prison sentence he committed suicide. A fellow employee is currently doing a long prison term for the same case.
Perini has been caught doing such things over and over again. They are absolutely ridiculous in California projects. It is like DBE fronting is a part of its business model. Overall fraud appears to be a part of that model also. According to the Seattle News some of the Perini headlines read: “In February, Tutor-Saliba and Perini agreed to pay $19 million to settle racketeering and fraud allegations in a San Francisco airport project.” “In 2004, Perini agreed to pay the federal government $998,500 to settle fraud claims in the construction of an embassy building in Venezuela.” “The companies are embroiled in an 11 – year legal battle over $16 million in extra costs on a Los Angeles subway job.” “Perini sued for more than $170 million in cost overruns on three New York City projects during the 1990s before settling for about $22 million.”