United States v. Leyde & Leyde

CHESNUT, District Judge.

The United States has brought suit under section 19 of the Contract Settlement Act *258of 1944, 58 Stat. pp. 649-671, 41 U.S.C.A. §§ 101-126, against the defendants. The purpose of the suit is to recover damages and penalties for alleged fraudulent claims submitted to the Maritime Commission, an agency of the United States, with respect to amounts claimed to be payable to the defendants and to an alleged subcontractor by reason of the cancellation of certain contracts for the manufacture and equipment of life rafts.

The main objectives of the Act as stated in section 1 are,…