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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…

Faulty Propulsion System

In August 2003, Celebrity Cruises filed a $300 million lawsuit against Rolls-Royce and Alstom Power Conversion in Florida state court. The lawsuit alleged the Rolls-Royce and Alstom Power Conversion pod propulsion system, which goes by the brand name Mermaid, failed repeatedly, resulting in cancelled cruises, unexpected repairs and thousands of disappointed guests. In financial filings, Celebrity Cruises disclosed that it settled with Alstom in January 2006 for $38 million, and that “during 2010, we recorded a one-time gain of approximately $89.0 million, net of costs and payments to insurers, related to the settlement of our case against Rolls Royce.”

Misconduct Type
Poor Contract Performance
Enforcement Agency
Non-Governmental
Contracting Party
Non-Governmental
Court Type
Civil
Disposition
Settlement
Date of Complaint
8/7/2003
Contractors Involved Penalty
Total
Rolls-Royce PLC Unknown
Further Information Released
Royal Caribbean 10K (p. 49 of 114) 2/24/2011
Royal Caribbean 8K (p. 3 of 12) 5/9/2007

Federal Contractor Misconduct Database