Honestly, I couldn't make this stuff up!
See Central Contracting, Inc. Vs. Kenny Construction Co et al.
"Central alleges that Kenny breached the Subcontract by failing and refusing to pay $5,723,852.80 that Kenny owed Central under the Subcontract. Further, Central alleges that TrailCo was unjustly enriched by
Central’s improvement of TrailCo’s property."
"In its Counterclaim, Kenny alleges that payment under the Subcontract was based upon the time and
equipment expenses of the work plus a fee for the expenses Central incurred on the project. Because many of Central’s workers had to travel away from their homes during the project, the Subcontract provided that Kenny would pay Central the necessary per diem expenses incurred by the project workers."
But wait, the plot sickens:
"Kenny asserts that during a financial audit of Central, it discovered that it had paid $4,910,056.00 to Central in per diem expenses, but Central passed along only $1,501,790 to its employees. Kenny also allegedly discovered an irregularity with respect to labor rates during the financial audit–namely, that Central charged Kenny for increased labor rates but did not pass
those increases along to its workers. Kenny asserts
that it overpaid $923,572.00 relating to increased labor costs. This dispute, however, is not relevant to Kenny’s motion."
And it gets worse. Apparently Kenny was in cahoots with Central to bilk the ratepayers who financed the construction of TrAIL out of millions:
"Notably, Central argues that discovery will show that Kenny waived the “necessarily incurred” language in the
Subcontract because it “knew exactly how Central was treating the per diem allowance as early as February,
2009; concurred in that treatment, and in fact, directed it; and continued to make payments to Central for over two years with full knowledge of how Central was handling the per diem allowance and acquiesced in it.”
"Central intends to seek, for example, information regarding a February 20, 2009 meeting between Kenny and Central, during which Central contends Kenny’s representatives directed it to invoice for per diems for each day its field labor employees worked on the project, regardless of how Central ultimately compensated those employees."
So, exactly how much unearned expense did TrAILCo and its contractors bilk ratepayers out of?
Someone should string them all up by their ankles and shake them until all the ill-gotten booty rattles out of their pockets, and then return it to the consumers who struggle to pay their electric bill every month.
I am truly amazed at the depths to which corporations will stoop when there's a buck on the table. Disgusting.