Caterpillar Rail Unit pleads guilty to false repairs, dumping ev - WEEK.com: Peoria-area News, Weather, Sports

Caterpillar Rail Unit pleads guilty to false repairs, dumping evidence in ocean

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United Industries LLC, a part of Caterpillar's Progress Rail Services unit, admitted that it performed unnecessary repairs, charged customers for said repairs, and dumped brake shoes and other parts into the ocean to hide evidence, according to a story published on Marketwatch.

United Industries has agreed to plead guilty and pay a criminal fine of $5 million, as well as $20 million to repay railcar-owning companies TTX Co., Greenbrier Co. and the Pacer International Unit of XPO Logistics Inc.

The dumping took place in 2008 and 2009, according to the article.

Caterpillar was due in District Court in California on Thursday.

25 News has called Caterpillar for comment. 

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