A settlement has been reached in a whistleblower lawsuit which accused a British marine services firm of defense contractor fraud in its dealings with the United States Navy.

British company Inchcape Shipping Services Holding Ltd. and other subsidiaries have agreed to settle a whistleblower lawsuit that alleged the marine services company committed defense contractor fraud. The company privately agreed to settle the lawsuit against them for $20 million, although the specifics of the settlement have not been decided.

“This settlement demonstrates that the Department of the Navy will continue to hold contractors accountable for the agreements they make to supply our fleet,” said Navy Secretary Richard Spencer in a DOJ press release. “The department expects strict adherence to higher standards within the department and expects the same from its contractors.”

Contractors such as Inchcape provide supplies and services to the U.S. Navy in various ports and regions. These services can include food, waste removal, telephone services, dockside security, and local transportation.

Inchcape allegedly overbilled the U.S. Navy for services in multiple regions including Southwest Asia, Africa, Panama, North America, South America, and Mexico between the years of 2005 and 2014. The company allegedly charged the Navy for more goods and services than were provided as well as billed some items at higher rates than was included in their contract.

The defense contractor fraud lawsuit was filed by former Inchcape employees who will split $4.4 million in rewards. Under the False Claims Act, whistleblowers are entitled to a portion of recovered damages if they file a lawsuit against a company for defrauding any government program.

The former employees filed the suit in 2010 with two plaintiffs with a third joining in 2014. The government suspended services with Inchcape in 2013 for alleged defense contractor fraud and in 2015 announced it would be unsealing the suit and moving forward. When whistleblowers file a False Claims lawsuit, the government is not required to act on the claims but is entitled to intervene at any time.

After the U.S. government joined the defense contractor fraud lawsuit, more specific allegations against Inchcape were laid out. For example, the government claimed that when a Navy ship visited Bahrain in 2006, Inchcape billed the military for $7,240 for removing subsequent oily waste.

However, a local vendor allegedly charged Inchcape $702.52 for the service, meaning that the company up marked the service by 1,000%. Further allegations referenced conversations between Inchcape executives and staff in which the company allegedly acknowledged engaging in defense contractor fraud.

In response to the defense contractor fraud allegations, Inchcape has denied any wrongdoing but made a statement acknowledging that it is better for the company to settle the lawsuit now instead of continuing with litigation for an unknown period of time at the expense of company resources and employees.

The Defense Contractor Fraud Lawsuit is Case No. 1:10-cv-01109 in the United States District Court for the District of Columbia.