- Associated Press - Monday, May 19, 2014

PHILADELPHIA (AP) - An industrial equipment company is accused by federal investigators of bilking the city of Philadelphia out of more than $550,000.

U.S. Attorney Zane David Memeger said Monday that Airmatic Inc. submitted false and fradulent invoices that listed products unapproved by the city at inflated coats of around 87 percent on average.

The Malvern-based company, which had contracts with the city to supply tools and repair parts, is charged with one count of mail fraud in connection with the alleged scheme.

Memeger alleges that Airmatic created bogus transactions from January 2007 to August 2012 to the tune of $556,000.

A woman who answered the phone at the Chester County company said Airmatic had no comment.