Boeing to pay U.S. $4.4M to end Chinook billing case
Posted: January 20, 2012 at 1:04 p.m.
Boeing Co., the second-largest defense contractor, agreed to pay the U.S. $4.4 million to resolve allegations that it overbilled the government for work on Chinook military helicopters.
The settlement requires Boeing to retrain its employees and make improvements to software it uses to track its billing, Philadelphia U.S. Attorney Zane Memeger said today in a statement. A whistle-blower lawsuit alerted the government to the issue, according to the statement.
The U.S. Justice Department awarded Boeing a contract in 2003 to produce and modify new Chinook helicopters as part of the Army’s effort to modernize its fleet. More than 100 Chinooks were ordered.
A government probe revealed that Boeing managers instructed mechanics to perform non-billable work while separately billing the U.S. for their time resulting in the government being charged for work for which it had already paid, according to the statement.
Damien Mills, a spokesman at Boeing’s Chinook plant in Ridley Park, Pennsylvania, had no immediate comment on the settlement.
(Advertisement)
« Previous Story
Stolen guns recovered, arrests made
Police recovered 19 stolen firearms today from a Rogers raid. Read »
Next Story »
Islamist sect claims north Nigeria bombings
The radical Islamist sect known as Boko Haram has claimed responsibility for a series of bombings in the north Nigeria city of Kano. Read »
Comments
To report abuse or misuse of this area please hit the "Suggest Removal" link in the comment to alert our online managers. Please read our comment policy.
Use the comment form below to begin a discussion about this content.
Registration is required to make comments. Click here to LOGIN.
You can register for FREE to post comments and receive alerts.