Infrastructure

Lawsuit Alleges Fraud in AAA Projects Under Federal Monitoring

Published Aug 5, 2026 · via NotiCel

Longo En Tech de Puerto Rico, LLC, a major government contractor for infrastructure, has taken its dispute with the Autoridad de Acueductos y Alcantarillados (AAA) to federal court over alleged flaws in the awarding of contracts for six federally-funded projects. The projects aim to address issues at six plants serving Ponce, Carolina, Loíza, Mayagüez, Isabela, Aguadilla, Aguada, Rincón, Vega Baja, and Caguas, which were found to have violations that triggered federal supervision.

The AAA had delegated its managerial functions for these projects to consultant Arcadis Caribe, PSC, a subsidiary of a Dutch company that has accumulated $159.8 million in contracts with the AAA since 2016. The lawsuit alleges that Arcadis withheld information from bidders, including Longo En Tech, during the contracting process.

The projects are part of an agreement between the AAA and the US Environmental Protection Agency (EPA) to address violations at the plants, which are under the supervision of the US District Court for the District of Puerto Rico.