HP to pay $32.5M over Postal Service bilking allegations

Hewlett-Packard Co. will pay $32.5 million to settle accusations that the Silicon Valley firm overcharged the U.S. Postal Service for products over the course of a decade, the Justice Department said Friday.

The DOJ alleged that HP violated the terms of its government contract, which required the firm to offer the Postal Service prices that were no greater than those offered to customers with comparable contracts.

The United States also alleged that, between 2001 and 2010, the company made misrepresentations about pricing during negotiations that led to its contract with the Postal Service.

“Protecting the federal procurement process from false claims is central to the mission of the Department of Justice,” Assistant Attorney General Stuart F. Delery for the Justice Department’s Civil Division said in announcing the settlement.

In settling the case, HP did not formally admit wrongdoing.