United to pay $3.2M to settle safety allegations

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United to pay $3.2M to settle safety allegations
By Marilyn Adams, USA TODAY

United Airlines has agreed to pay the government and a whistle-blower $3.2
million to settle allegations of substandard maintenance work on military
transport planes for the Air Force. Under the proposed settlement
agreement, filed Monday in federal court in South Carolina, United denies
all allegations brought by the whistle-blower, a former United mechanic who
worked on the C-17 planes. The settlement must be approved by the South
Carolina judge and the judge in United's bankruptcy reorganization case.
The allegations were brought by former mechanic Douglas Niven of
Charleston, S.C. United helps maintain the engines on C-17 planes at
Charleston Air Force Base under a federal contract. Niven's allegations
were brought under the federal False Claims Act and were investigated by
the U.S. attorney's office in South Carolina and the Air Force. The U.S.
attorney's office did not return a call seeking comment. The maintenance
allegations had delayed United's receipt of a $388 million federal tax
refund. In March, United sued the government to recoup the refund. The
government agreed to release $360 million but withheld the rest partly
because of the allegations.

Niven, 43, alleged United fired him in 2001 after he resisted and reported
what he considered unsafe maintenance practices on the engines. After his
discharge, he alleged United pressured his new employer at the base, AAI,
to also fire him, which it did.
Niven, will get 20% of the settlement, but United will not reinstate him.
He says he has been unable to return to aircraft maintenance. "This is
definitely a vindication, but I lost a career over this," Niven said.
"United threatened me with the loss of my job unless I falsified documents.
I'd worked for them 11 years at Chicago O'Hare airport and never saw
anything like this."
United has not disciplined managers who fired him, he said. "Our commitment
to safety remains our No. 1 priority," said United spokesman Chris
Brathwaite. "Both sides avoided the time and expense of litigation."
Brathwaite said the case didn't prevent United from keeping the contract on
the C-17s. In a court complaint made public this week, Niven alleges the
airline refused to provide mechanics with necessary tools and equipment,
attempted to hide oil or fuel leaks in engines, and pressured mechanics to
falsify reports.

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