LOS ANGELES: Lee Andrews Group, the former Fleishman-Hillard subcontractor charged with overbilling the LA Department of Water and Power for PR, advertising, and media relations efforts, has reached a settlement with the city.
The LA-based firm has six years to repay $1 million to the LA DWP, resolving claims stemming from a 2004 audit issued by the utility and the office of City Controller Laura Chick. The settlement was negotiated by Lee Andrews Group founder Donna Andrews and LA City Attorney Rocky Delgadillo.
In April 2005, Fleishman agreed to reimburse the city with $5.7 million in alleged overbilling fees; a federal jury convicted the firm's former LA GM Douglas Dwie, and SVP John Stodder of related conspiracy and wiretapping charges in May 2006. Both men await sentencing.