The report was filed June 13 in U.S. District Court in Little Rock by Horne LLP
An accounting firm has filed a report with a federal judge in which it concludes that internal auditors at Pilot Flying J properly computed the amount owed to truckers under a rebate program that is the subject of an ongoing federal probe.
The report was filed June 13 in U.S. District Court in Little Rock by Horne LLP. The accounting firm had been hired by Pilot to recheck the calculations of Pilot's internal auditors. Pilot paid the auditing firm's fees under the court-approved agreement.
The firm was hired as part of a settlement agreement reached in November of last year under which Pilot agreed to pay truckers for rebates they had been shorted on plus 6 percent interest.
The suit in Arkansas followed an April 15, 2013, raid on Pilot's Knoxville headquarters by FBI and IRS agents. Ten former Pilot officials already have entered guilty pleas to charges that they deliberately reduced promised rebates to trucking firms across the country.
Though the $85 million settlement resolved several cases, Pilot is still facing about a half dozen additional suits that have been merged before a federal judge in Kentucky.
That judge recently set a deadline for attorneys representing the firms to file appearances in his court.
According to the audit report filed in Little Rock, the audit covered transactions from Jan. 1, 2005 to July 15, 2013. Payments to class members totaled $68.7 million, including $9.6 million in interest payments. Under the settlement lawyers for the trucking firms were paid some $14 million.
The audit report states that Pilot's internal auditors did agree to make some modifications to their audit procedures in response to concerns raised by the Horne team.
Reach Walter F. Roche Jr. at (615) 259-8086.