Boeing in overcharging dispute
Arms and aerospace company Boeing last week paid (US)$23 million to resolve allegations that it over charged the US air force for work it carried out.
According to the Corporate Crime Reporter the payout refers to false claims for labour charges on maintenance contracts for the C-17 Globemaster aircraft.
The US government alleged that the company knowingly and improperly billed a variety of labour costs, including for time its mechanics spent at meetings not directly related to the contracts.
The settlement resolves allegations originally brought in a lawsuit by present and former Boeing employees Clinton Craddock, Fred Van Shoubrouek, Anthony Rico and Fernando de la Garza in federal court in San Antonio under the False Claims Act.
The act permits private parties to sue for false claims on behalf of the United States and to share in any recovery.
The individuals who filed the suit will receive $3,910,000 as their share of the settlement.
This story has been added to our corporate database. The database powers all our live product guides, giving the score for each company on our rankings tables. Find out more about how we rate companies.
Ethical Consumer on Google+