9/23/26 – Our Office of Investigations routinely monitors Postal Service contracts for possible fraud using proprietary data analytics tools. After our special agents flagged a North Carolina’s suspicious invoicing, they subpoenaed the owner.

During an interview, the owner’s story unraveled, revealing deliberate fraud: Our special agents presented evidence showing he submitted fake invoices with inflated work hours, billed travel miles as labor, and forged or altered signatures from postal employees. To inflate the cost of the equipment used, the owner claimed rental equipment as company owned. He also failed to disclose subcontractors and would bill supervisor hours for his staff to oversee subcontractors at work.

Just a day after the interview, the Postal Service cut ties, and the contractor settled out of court for $1 million with federal authorities. This investigation prevented almost $3.67 million more in future fraudulent payments.

If you suspect or know of contract fraud against the Postal Service, please report it to our Hotline.