City to pay more than $300,000 to settle federal lawsuit

HAMPTON, Va. (AP) — The city of Hampton will pay a hefty sum to settle a federal lawsuit.

The Daily Press reports the lawsuit was unsealed Tuesday, allowing participants to discuss the outcome of the case.

Hampton will pay more than $300,000 to the federal government and former city employee Elizabeth Greene, who filed the case in October 2013 about the city improperly using benefits granted to nonprofit organizations while mailing materials advertising the arts.

The city would’ve been punished under the False Claims Act, created to give financial incentives for those providing information about attempts to defraud the federal government.

David Pearline, Greene’s attorney, said the case has been dismissed, with the city paying $299,000 in damages and $12,654 in attorney fees. Greene, will receive $50,080 in compensation.

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