COLUMBIA, S.C. — A judge pushed back a decision Friday on whether a local construction company can permanently continue working on paving projects in South Carolina.
Eyewitness News reported Thursday that competitors are concerned about the company's ties to the Boggs Group. A grand jury indicted one of that group's companies, Boggs Paving, in a massive fraud scheme in 2013.
9 Investigates: Allegations that new company is tied to indicted paving business
Attorneys representing Lynches River Contracting had no comment Friday following a status conference at the Richland County Courthouse. The company filed a complaint, alleging the South Carolina Department of Transportation didn't follow procedure in revoking its license to bid. A judge agreed and granted a temporary restraining order.
Eyewitness News learned the back-and-forth started after Drew Boggs, then president of Boggs Paving in Monroe, pleaded guilty to conspiracy and money laundering charges. The assets of Boggs Paving were frozen, and the company was banned from bidding on DOT projects in North and South Carolina.
On Dec. 5, a new company, Lynches River, applied for a license to bid in South Carolina. The company is run by former Boggs Paving executives. The SCDOT awarded the license on Dec. 8.
On Jan. 8, the SCDOT sent a letter revoking the license. The letter cited "management discrepancies" and "dual employee issues with a suspended contractor, Boggs Paving."
Eyewitness News also obtained emails sent shortly after by the DOT's director of construction saying, "I am not comfortable in rushing this process again. I was more than accommodating in fast tracking this process in December, and some important details may have been missed that put us in this situation today."
On Friday, Eyewitness News tried again to get comment from the SCDOT, only to be told the department would have to check with its legal office before answering any questions.
With the legal case still pending in South Carolina, Eyewitness News learned Lynches River has filed documents to bid in North Carolina. The request has not yet been approved, according to the North Carolina Department of Transportation.
Eyewitness News contacted Lynches River. An attorney sent a statement, which said, "Lynches River Contracting Inc. is a new company that is separate from Boggs Paving. It did not purchase assets from Boggs Paving and is not owned or controlled by Boggs Paving, Drew Boggs or Chris Boggs."
A hearing on a permanent injunction against the SCDOT is scheduled to be heard March 4.
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