Menu

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…

Contract Dispute (Idaho National Engineering and Environmental Laboratory)

On October 29, 2004, the U.S. District Court in Idaho issued a decision upholding the termination for default of Lockheed’s Pit 9 contract and rejecting the Corporation’s counterclaims. “The court concluded that the Corporation must repay $54 million in progress payments, plus interest, and pay approximately $12 million in decontamination and decommissioning costs.” The lawsuit stemmed from a fixed-price contract that was awarded in 1994 for the design, construction and testing of remediation facilities and the remediation of waste found in Pit 9 at the Idaho National Engineering and Environmental Laboratory reservation. In 1998, the management contractor for the Department of Energy terminated the Pit 9 contract for default. Ultimately, the company recorded an after-tax charge of $117 million as a result of the decision.

Misconduct Type
Poor Contract Performance
Enforcement Agency
Energy
Contracting Party
Energy
Court Type
Civil
Disposition
Judgment Against Defendant
Date of Judgment
10/29/2004
Contractors Involved Penalty
Total
Lockheed Martin $66,000,000
Further Information Released
Lockheed Martin Press Release 8/30/2006
SEC 10-K (p. 105 of 122) 8/30/2006

Federal Contractor Misconduct Database