Boeing's drone unit to pay $25 million to settle fraud charge that was sparked by whistleblower complaint

SEATTLE — Boeing’s drone subsidiary, Insitu, will pay $25 million to settle a federal lawsuit accusing it of fraudulently overcharging the government on no-bid military contracts by billing for new parts but using recycled ones. The whistleblower who brought the original case, D R O’Hara, who was fired by Boeing, will get $4.625 million as a share of that penalty for uncovering the fraud. Insitu will also have to pay O’Hara’s legal expenses. The Department of Justice accused Insitu of “knowingly submitting materially false cost and pricing data” for contracts to supply surveillance drones to b…

Read More

HEDGE accordingly