Delta Airlines to pay $10.5M to settle allegations of fraudulent mail delivery reports
An Airbus A321 from the Delta fleet. (Delta Air Lines file photo)
ATLANTA - Delta Air Lines has agreed to pay $10.5 million to the U.S. government to settle accusations by the Justice Department that it falsely reported information about the delivery of U.S. mail.
The Justice Department says the allegations stem from a contract the Atlanta-based airline has with the United States Postal Service to collect mail from six places in the United States and various international Department of Defense and State Department locations and deliver it to various destinations.
As part of the contract, Delta was required to submit electronic scans reporting the time the mail was delivered with penalties for male that was late or delivered to the wrong location.
In their statement, the Justice Department alleges that Delta falsely reported the time and fact that it "transferred possession of the mail."
Among the mail Delta was contracted to deliver was mail sent to U.S. soldiers deployed abroad at various bases.
"The United States expects the air carriers with which the USPS contracts to accurately report the services they provide," said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. "The resolution announced today reflects the department’s commitment to pursuing contractors that do not meet their contractual obligations to the United States and misrepresent their failure to perform."
Delta is not the first airline to settle with the government over allegations about mail deliveries. In 2021, United Airlines agreed to pay $49 million for similar allegations. In 2019, American Airlines paid a $22 million settlement.