American Airlines agreed to pay $22.1 million to resolve an issue regarding allegations of falsified mail delivery times, the U.S. Department of Justice said Tuesday.
The issue stemmed from American Airlines Group Inc. (Nasdaq: AAL) contracting with the United States Postal System to deliver mail.
American would take possession of receptacles filled with U.S. mail at six locations in the U.S. or various Department of Defense and State Department locations abroad. To get paid for its work, American had to submit electronic scans of the mail receptacles reporting the time they were delivered, the DOJ said.
The $22 million settlement announced Tuesday resolves allegations American falsified the times it said it transferred the mail to foreign administrations or other intended recipients.
The department made clear these claims are allegations and there was no determination of liability. The USPS contracts with commercial airlines to deliver mail to foreign posts, including items sent to soldiers overseas, the DOJ said.