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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…

Violations of Arms Export Control Act and International Traffic in Arms Regulations

The U.S. State Department and Lockheed Martin Corp. reached an agreement pursuant to the Arms Export Control Act (AECA) and International Traffic in Arms Regulations (ITAR). Lockheed submitted a voluntary disclosure concerning unauthorized actions it took to sell Hellfire missiles to the United Arab Emirates, including an unauthorized proposal to sell significant military equipment, the unauthorized export of classified and unclassified technical data, the failure to comply with requirements for safeguarding classified information, and the failure to obtain a non-transfer and use certificate. Separately, Lockheed submitted a second voluntary disclosure involving the unauthorized export of classified information on the Joint Air-to-Surface Standoff missile. Under a consent agreement, Lockheed agreed to pay a civil penalty of $4,000,000, of which $1,000,000 is suspended on the condition that it be used for remedial compliance measures.

Misconduct Type
Import/Export
Enforcement Agency
State Dept.
Contracting Party
Defense - General
Court Type
Administrative
Disposition
Settlement
Date of Order
8/1/2008
Contractors Involved Penalty
Total
Lockheed Martin $4,000,000
Further Information Released
Consent Agreement 8/16/2008
Draft Charging Letter 8/16/2008
Order 8/16/2008
State Department Press Release 8/16/2008

Federal Contractor Misconduct Database