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| -Short Attention Span Theater- |
| Lockheed Martin to Pay $38 Million for Overbilling Air Force |
| 2003-08-29 |
| Lockheed Martin will pay the US government 37.9 million dollars to settle accusations that it inflated the cost of contracts for the US Air Force, the justice department said. The company was awarded $17 billion in defense contracts in 2002, up from $14.7 billion in 2001. And another $4 billion multi-year contract with the U.S. Air Force and the Marine Corps for the Hercules Aircraft for 2003. The government also accused Lockheed Martin of purposely inflating a contract proposal for a foreign military sales contract under the Low Altitude Navigation and Targeting Infrared for Night (LANTIRN) programme. The US government had hoped to sell the equipment to Saudi Arabia, Greece and Bahrain as a means of offsetting a cost over-run on another Air Force contract. Oops! In announcing the settlement, Assistant Attorney General Peter Keisler warned that Lockheed should be an example to other companies that try to overcharge government agencies. Sweet. Immunity from government penalties for abuse, as long as we keep them on the dole... $17 billionI know. Those are old contracts. But the year’s not over yet. The company reports 80% of its business is with the U.S. Defense and federal government. And, Boeing is banned from future rocket contracts... |
| Posted by:fullwood |
| #1 Sorry. Forgot the $106.6 million contract for Paveway II GBU-12 and –16 Laser Guided Bomb (LGB) kits, as part of a $281 million contract And the $1 billion in contracts that the Pentagon transferred to Lockheed after the Boeing spy flap. |
| Posted by: fullwood 2003-8-29 2:06:35 PM |