Ascend Elements, Inc., a Massachusetts-based lithium-ion battery materials manufacturer, has agreed to pay $7,497,555.65 to resolve civil allegations that it submitted inflated reimbursement claims to the U.S. Department of Energy for work on its Apex‑1 battery materials project in Hopkinsville, Kentucky, according to an Aug. 27 announcement by U.S. Attorney Kyle G. Bumgarner of the Western District of Kentucky.
The settlement addresses the United States’ contention that between September 18, 2023, and February 18, 2025, Ascend sought and received Department of Energy reimbursement for goods and services that included inflated labor hours, excessive tool purchases, unnecessary equipment rentals, and other wasteful or unnecessary expenses related to its industrial-scale battery precursor production project. The Department of Energy paid more than $5.3 million tied to this conduct.
Ascend voluntarily disclosed the issues to the government and received credit for cooperation through timely self-disclosure and an internal investigation, which assisted authorities in understanding the full scope of conduct.
“This settlement reflects the Department of Justice’s commitment to ensuring that federal funds supporting critical energy and infrastructure projects are safeguarded from misuse,” said Kyle Bumgarner, United States Attorney for the Western District of Kentucky. “Companies that receive taxpayer dollars must be held to the highest standards, and today’s recovery demonstrates that voluntary self-disclosure and cooperation will be met with appropriate credit, while still ensuring accountability.”
Assistant United States Attorney Jessica R. C. Malloy handled this matter with support from the U.S. Department of Energy.
The U.S. Attorney’s Office for the Western District of Kentucky is a component of the United States Department of Justice; it serves about 2.2 million residents across 53 counties including military installations at Fort Knox and Fort Campbell, prosecutes federal crimes, manages civil cases, uses facilities such as Gene Snyder Courthouse in Louisville as well as courthouses in Owensboro, Bowling Green and Paducah, and promotes community wellness through programs like Heroin Education Action Team and Victim Witness Assistance according to its official website.
The claims resolved by this settlement are allegations only, with no determination of liability.