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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…

Inflating the Price of B-1 Bomber Towed Decoy System

The federal government filed a False Claims Act lawsuit against Boeing, claiming the company unlawfully inflated the price it charged the Air Force for a missile-decoy system for the B-1 bomber. The government claimed that during contract negotiations in 1998, Boeing failed to disclose that it was outsourcing the fabrication of parts used in the system, which led the Air Force to overpay Boeing by $7.5 million on 140 submitted invoices. In October 2010, Boeing agreed to pay $4 million to settle the lawsuit. Boeing settled without admitting wrongdoing.

Misconduct Type
Cost/Labor Mischarge
Enforcement Agency
Defense – General
Contracting Party
Defense - Air Force
Court Type
Civil
Disposition
Settlement
Date of Filing
9/2/2008
Contractors Involved Penalty
Total
Boeing Company $4,000,000
Further Information Released
USAO Press Release (Oct. 2010) 10/28/2010
Complaint 10/31/2008
USAO Press Release (Sept. 2008) 10/31/2008

Federal Contractor Misconduct Database