MCI Inc. has preliminarily agreed to settle claims made by 14 states and the District of Columbia regarding back taxes, according to Reuters. The states reportedly maintain that the company used a royalty tax plan to shield billions of dollars from their coffers; a spokesman for MCI declined comment for the wire service’s story.

In May, the telecommunications company settled the first of such claims, brought by Mississippi, when it agreed to pay $100 million and surrender several properties, including the former WorldCom headquarters building in Jackson. The company is now headquartered in Ashburn, Virginia.

New Jersey will see the largest payout in this latest settlement — about $51.5 million, according to the wire service. Pennsylvania, Georgia, Massachusetts (which led the recovery effort), and Florida each will reportedly recover more than $30 million.

Arkansas, Connecticut, Iowa, Kentucky, Maryland, Michigan, Missouri, Ohio, and Wisconsin are also reportedly on the list. The District of Columbia will see the lowest payout, $955,000, according to Reuters.

The settlement is subject to approval by MCI’s board of directors.

Earlier this week, Verizon Communications Inc. reportedly set forth a closing condition for its $8.5 billion acquisition of MCI: The combined company shouldn’t be required to abide by the corporate governance principles that MCI adopted when it emerged from bankruptcy.

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