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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…

Becker v. Tools & Metals Inc. (Mischarging the Government)

In November 2007, the United States intervened in a False Claims Act lawsuit alleging the mischarging of millions of dollars by Lockheed Martin Corp.; Lockheed’s vendor, Tools & Metals Inc. (TMI); former TMI president and CEO Todd Loftis and former TMI officer and director Linda Loehr. In 1998, TMI won a contract from Lockheed Martin Aeronautics to supply Lockheed with perishable tools for the manufacture of F-16 and F-22 fighter aircraft. The suit alleged that Loftis and TMI caused false claims to be submitted by Lockheed to the Department of Defense from January 1998 to February 2006. Lockheed was alleged to be independently liable for TMI’s actions due to its reckless failure to adequately oversee TMI. Loehr was alleged to have recklessly failed to carry out her responsibilities as an officer and director of TMI. In December 2005, Loftis pleaded guilty to one count of conspiracy to defraud the United States and was sentenced to seven years in prison. In March 2012, Lockheed settled the lawsuit for $15.85 million.

Misconduct Type
Government Contract Fraud
Enforcement Agency
Defense – Air Force
Contracting Party
Defense - Air Force
Court Type
Civil
Disposition
Settlement
Date of Settlement Announcement
3/23/2012
Contractors Involved Penalty
Total
Lockheed Martin $15,850,000
Further Information Released
DOJ Press Release (March 2012) 3/24/2012
Complaint 11/21/2007
DOJ Press Release (Nov. 2007) 11/21/2007

Federal Contractor Misconduct Database