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San Diego

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A $600,000 payment has been made to the San Diego Unified Port District by an auto-parts manufacturer as a settlement for money lost in an illegal purchasing scheme involving port and company personnel.

The purchasing scam led to convictions of several Port District employees and a manager for a Genuine/Napa parts store on 12th Avenue.

The scam involved billing the port for parts and service it never received. The bills were used to cover up the purchase of items such as computers and television sets that were given to some Port District employees and their friends.

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It is estimated that the scheme went on several years and may have cost the Port District more than $1 million.

‘Without admitting any liability, Genuine Parts has paid the Port District $600,000 as settlement in full of all claims which the Port District might have against Genuine Parts or any related entities,” a statement released by the Board of Port Commissioners said.

“The Port District and Genuine Parts have agreed to this settlement to avoid burdensome and expensive litigation which would tie up their employees and resources, as well as the resources of the courts, for several years.”

A spokesman for Genuine Parts declined comment.

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