Road builder fined for using minority fronts

Dec. 24, 2005, 12:35AM
Road builder fined for using minority fronts
Giant contractor Williams Brothers to pay $3 million


By DAN FELDSTEIN
Copyright 2005 Houston Chronicle

Williams Brothers Construction Co., one of the largest road builders in Texas and the United States, has agreed to pay a $3 million penalty for using puppet companies to meet affirmative action goals.

The Federal Highway Administration has pursued the Houston-based company off and on for more than 20 years for the way it arranged small firms to supply it with concrete.
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Attorneys for one of those suppliers, TXI of Dallas, wrote, "Instead of serving the community as the program was meant to do by forcing contractors to subcontract a certain percent of their work to firms owned by minorities and women, (the subcontractor) was used as a front for Williams Brothers to avoid increased costs and loss of control by subcontracting to a more independent third-party subcontractor."
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Williams Brothers and its owner and chief executive, James D. "Doug" Pitcock Jr., are Texas construction legends. Formed 50 years ago to take advantage of the new Interstate Highway Act, the company has built and rebuilt virtually every freeway in Houston and had more than $400 million in revenues in 2004, virtually all from the Texas Department of Transportation.
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http://www.chron.com/disp/story.mpl/metropolitan/3546016.html

Republicans, 100%, according to the Center for Responsive Politics.

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