Defense contractor Raytheon to pay almost $1B for defrauding DOD

[BumRushDaShow]

Source: The Hill

10/18/24 7:18 PM ET


Raytheon Co., part of parent defense contractor RTX, will pay more than $950 million to resolve Justice Department allegations that it defrauded the Defense Department (DOD) and paid bribes to a government official in Qatar to get business in the country.

The company is accused of “a major government fraud scheme involving defective pricing on certain government contracts and violations of the Foreign Corrupt Practices Act and the Arms Export Control Act,” according to a statement from the Department of Justice (DOJ). The DOJ also said the company had violations in “its implementing regulations” and in “the International Traffic in Arms Regulations.”

Raytheon will enter into three-year deferred prosecution agreements in separate cases filed Wednesday in federal court in Massachusetts and New York. The company also agreed to hire independent compliance monitors to make sure it is following anti-corruption and anti-fraud laws.

At the center of the allegations in the Massachusetts case are missile systems Raytheon sold to the Department of Defense from 2011 to 2013 and the operation of a radar surveillance system in 2017. The company was accused of inflating its costs by $111 million in those deals. Raytheon allegedly lied to the Pentagon about the costs to build three Patriot missile batteries, with the Army agreeing to a $619 million contract.

Read more: https://thehill.com/homenews/4942259-raytheon-qatar-corruption-fraud-bribes/

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DOJ PRESS RELEASE - Raytheon Company to Pay Over $950M in Connection with Defective Pricing, Foreign Bribery, and Export Control Schemes

[Lonestarblue]

1. The military industrial complex is alive and well.

I wish some Congress would force a complete audit on the military to identify their enormous waste of taxpayer dollars. Most people want a strong military, but what we have is a military that spends whatever it wants because Congress always increases their budget.

[3825-87867]

2. We should take that fine money and...

instead of putting into the general fund, why not specifically put it toward medicaid or medicare or the ACA for those who need it?
With all the crooked BS that businesses have been fined over, we could probably save Social Security and really piss off the Right.
Maybe even set up some affordable housing for Americans and Homeless Vets or even feed school kids instead of letting the red states receive (our) tax money they simply shove to their special friends. Or even give some to help pay off student loans. Or...

And do this with ALL the businesses that are fined for screwing the tax payers and government.

[drmeow]

3. Not enough

In 2023 they bought back $12+ billion in stock. They should be required to gift that stock to the Federal Government.

[GB_RN]

4. $1 Billlion Fine.

Yeah, and how much money did they steal? Qualifying this next part, by saying I haven’t yet red the full article, but I’d be willing to bet that Raytheon made a lot more than what the fine was.

Situations like this, a company should have to give back EVERYTHING

[republianmushroom]

5. And nobody goes to jail. Jeez

[dalton99a]

7. +1

[Quanto Magnus]

6. Executives need to be jailed

if the 'company' just has to pay a fine (regardless of size), they will keep doing it, because there are no real consequences. It's just a cost of doing business....

Prosecute the ones who are responsible for these kinds of policies.

[littlemissmartypants]

10. Congratulations on your 1,000 post milestone!

❤️pants

[dalton99a]

8. Zero consequences to anyone involved

[3825-87867]

9. Corporations and companies are "people*."

They're also Republicans for the vast majority, therefore Republicans don't go to jail!

* See Citizens United - John Roberts