A Hayward-based technology company agreed to pay a quarter-million dollars to resolve allegations that it violated the False Claims Act by allegedly providing unapproved equipment for the BART Silicon Valley extension project, U.S. Attorney Ismail Ramsey said.  

HSQ Technology, a subsidiary of RailWorks Corporation, provided network communications equipment to the Santa Clara Valley Transportation Authority’s Silicon Valley BART extension project.  

As part of the settlement with prosecutors, HSQ acknowledged that it purchased some network communications equipment from unauthorized distributors not approved by the VTA. The company also acknowledged that it submitted eight claims for payment of purchases of equipment between 2015 and 2016 for which it lacked documentation confirming that it had come from an authorized distributor. Each of these claims sought payment from federal funding.

“Contractors or subcontractors that receive federal funds must be truthful about the goods they are supplying and whether they meet contract requirements,” said Ramsey in a statement released by his office on Monday about the case.  

The VTA’s project to expand BART will likely be finished by May 2037 and is projected to cost at least $12.75 billion, according to officials. Pre-construction began in late April.

Katy St. Clair got her start in journalism by working in the classifieds department at the East Bay Express during the height of alt weeklies, then sweet talked her way into becoming staff writer, submissions editor, and music editor. She has been a columnist in the East Bay Express, SF Weekly, and the San Francisco Examiner. Starting in 2015, she begrudgingly scaled the inverted pyramid at dailies such as the Vallejo Times-Herald, The Vacaville Reporter, and the Daily Republic. She has her own independent news site and blog that covers the delightfully dysfunctional town of Vallejo, California, where she also collaborates with the investigative team at Open Vallejo. A passionate advocate for people with developmental disabilities, she serves on both the Board of the Arc of Solano and the Arc of California. She lives in Vallejo.