Avarn Security has been found to have issued incorrect invoices for over 900 hours of parking surveillance to Stockholm city. The discovery has led to the suspension of three managers and a planned police report by the municipality. The issue involves double billing and charges for unperformed work. Avarn Security is cooperating with the city to rectify the situation and plans to reimburse the erroneous charges.
Avarn Security's Billing Scandal: Over 900 Hours Misbilled to Stockholm
Avarn Security's Billing Scandal: Over 900 Hours Misbilled to Stockholm
Avarn Security has issued incorrect invoices—totaling over 900 hours—for parking surveillance to Stockholm city. As a result, three managers have been suspended, and the municipality plans to file a police report.
The issue was discovered at the beginning of the summer when the municipality found that Avarn Security, responsible for street parking surveillance in parts of Stockholm, had sent erroneous invoices.
According to the municipality, the problem involves double billing—where Avarn Security allegedly invoiced both the traffic office and Stockholm parking for the same work hours—and invoices for shifts where parking attendants did not perform their duties.
Stockholm City Investigates
Anna Green, head of the traffic office in Stockholm, stated in a press release that they view the incorrect invoices as "very serious."
"A deeper investigation will follow to determine the extent of the problem and to reclaim the wrongly paid amounts," she said.
The municipality also stated that they want Avarn Security to pay penalties for the hours the company failed to deliver the agreed parking surveillance and intend to report the incident to the police.
Avarn Security: "Damages Trust"
Avarn Security announced in a press release that three managers responsible for the surveillance have been suspended, and the company is also investigating the incident and its scope.
So far, they have found incorrect invoices for 948 hours since May 2024. In total, the company and the municipality have a contract for 390,000 hours from May last year to August this year.
"This is very serious and damages trust in us as a security company," said HR Director Jennie Sörman in a statement.
She continued:
"The actions do not seem to have led to any financial gain for those involved. Instead, it appears to have been a way for managers to try to avoid their staffing issues for various shifts."
Plans to Reimburse
Avarn Security states that they are in dialogue with Stockholm city and plan to reimburse the incorrect invoices and pay penalties.
According to the security company and Stockholm city, there is no indication that motorists have received incorrect invoices. The municipality also does not see this as a reason to terminate the parking surveillance contract.