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Federal Contractor Misconduct Database (FCMD)

The federal government routinely awards contracts to companies with histories of misconduct, including contract fraud and other violations. POGO believes that providing this website will help to improve contracting decisions and increase public knowledge of how the government spends billions of taxpayer dollars each year. Read more…

United States v. Hughes Aircraft (Department of Defense Contract False Claims Act Violations)

Hughes Aircraft Company and Hughes Aircraft Mississippi, subsidiaries of Raytheon, paid $500,000 to settle allegations that they defrauded the government by not properly testing certain components of torpedoes and using non-conforming fasteners under several Department of Defense contracts in violation of the False Claims Act. An investigation by the Defense Criminal Investigative Service and the Naval Criminal Investigative Service found that Hughes failed to properly test certain electronic components of Advanced Capacity Mark 48 torpedoes sold to the United States Navy. It also found that Hughes used flawed fasteners such as stainless steel screws that failed to meet specifications contained in several other contracts.

Misconduct Type
Government Contract Fraud
Enforcement Agency
Defense – General
Contracting Party
Defense - General
Court Type
Civil
Disposition
Settlement
Date of Settlement
5/14/1997
Contractors Involved Penalty
Total
Raytheon Company $500,000
Further Information Released
Settlement Agreement 1/14/2011
DOJ Press Release 10/11/2006

Federal Contractor Misconduct Database