Consulting company still awaits payment from A&M - WAFF-TV: News, Weather and Sports for Huntsville, AL

Consulting company still awaits payment from A&M

Posted: Updated:
Federal agencies were recently on the campus of Alabama A&M University Federal agencies were recently on the campus of Alabama A&M University

Federal agencies were recently on the campus of Alabama A&M University conducting investigations. All the investigating agencies have grants with the university.

This is just the latest twist in a story that began in October, when a consulting company and a former university employee, among others, first claimed the university owed them more than a million dollars in federal grant money.

Months later, the claim is that they still have not been paid in full.

"We have not received all of our money; we have received a portion of it," said Don Groves CEO of DG-Horizons Consulting.

Back in October, Groves said he had not been paid in months for doing consulting work with Alabama A&M University. He said his company was brought in to act as a middle man and help manage payroll behind a textbook program for kids in Ethiopia funded by a $14-million federal grant from USAID.

The program had been running since 2009 successfully, but in the last months before closing it out, Groves said the university stopped paying about a dozen people who travel, print the textbooks, and do consultant work. The total tab came to about $1.4-million.

Groves said he was only owed $160,000 to complete the work.

"They were to pay by January 31, 2013 - the entire amount owed to the vendors and sub-contractors - and that didn't happen," added Groves.

In a letter written to A&M's President Dr. Andrew Hugine from USAID, they gave the university an extension to January 31, 2013 to ensure that all proper outstanding invoices were paid accordingly or an inspector general would intervene to resolve the issue.

However, Groves said he did not receive a check from the university until February 4 for just over $87,000 - not the total amount.

"At least we got some of our money, others got none," said Groves.

A spokesperson for A&M issued this statement:

"We have processed all requests up to the amount of available grant funds from USAID for the project."

"All of those children right now do not have their textbooks," said Groves.

Copyright 2013 WAFF. All rights reserved.

Powered by WorldNow

1414 North Memorial Parkway
Huntsville, AL 35801

WAFF Is a Proud Member
of the Raycom Family of Stations

FCC Public File
EEO Report
Closed Captioning

All content © Copyright 2000 - 2014 Worldnow and WAFF. All Rights Reserved.
For more information on this site, please read our Privacy Policy and Terms of Service.