(Editor's note) We are posting the LP&L story that was written by reporter Tiffany Pelt that should have appeared on our website tonight. An unauthorized version of the report was inadvertently posted earlier. This is not in response to any outside request; we caught the error in house. We apologize for any inconvenience this may have caused.
Questions surround Lubbock Power and Light's and whether they are involved in an FBI investigation centering around possible fraud on a LP&L construction project.
Wednesday, LP&L released the following statement, "On March 19th, the Lubbock City Manager informed members of the Electric Utility Board that she received a phone call from federal law enforcement about the potential fraud related to a LP&L job order contract." It continues, "To this date, LP&L is unaware of any official investigation by federal authorities of LP&L."
Katherine Chaumont with FBI's Public Affairs Office sent KCBD this statement, "Due to the Department of Justice policies, the FBI cannot confirm or deny the existence or status of an investigation."
While it is unclear if LP&L is part of an investigation, or if there is an investigation at all, they are named in an ongoing lawsuit filed on February 6th in Potter County by Talon/LPE against Kevin Cashman and several other defendants.
According to the lawsuit, Talon was contracted by LP&L for a project to replace LP&L's Massengale Station cooling tower. Talon then hired Cashman as the project manager and estimator.
In the lawsuit, Talon claims Cashman falsely submitted invoices for the project that totaled more than $300,000.
Talon's attorney, Matt Hand, says LP&L has nothing to do with the lawsuit besides the fact that it was an LP&L project being worked on when the alleged fraud occurred. Hand says the lawsuit will not affect the City of Lubbock or LP&L in anyway, and that the alleged fraud worth $300,000 was taken from Talon's business expenses and not LP&L's.
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