Jan. 13, 2021 1:59 am ET
Boeing Co. ’s drone unit has agreed to pay $25 million to settle civil-fraud allegations that it overcharged on more than half a dozen contracts signed with the U.S. Navy and special forces between 2009 and 2017.
Announced Tuesday by the Justice Department and Pentagon investigative agencies, the settlement stems from whistleblower claims by a then-official of the unit, Insitu Inc., that it knowingly charged new-part prices for “less expensive recycled, refurbished, reconditioned and/or reconfigured parts.” According to the Justice Department, the contracts with the Navy and the Pentagon’s Special Operations Command required new parts and materials.