Boeing Tanker Deal Scandal
NLPC exposed the Boeing tanker deal scandal, sending two Boeing executives to prison, and saving taxpayers at least $4–5 billion. The repercussions of the scandal are still being felt as the contract was put back out to bid. Boeing and a Northrop/Airbus consortium are currently vying for the contract.
On October 6, 2003, NLPC filed a formal Complaint with the Pentagon Inspector General and the Defense Department Criminal Investigative Service, which was the basis for a front-page Wall Street Journal article the next day.
Based on NLPC’s original investigation, the Complaint detailed how Defense Department procurement officer Darleen Druyun, while still at the Pentagon, sold her house to a Boeing executive who was also working on the tanker deal. The Complaint also described how her daughter has worked for Boeing since 2001.
The Complaint specifically raised the possibility that Druyun had negotiated employment with Boeing while still at the Pentagon. Federal law prohibits defense acquisition officials from discussing jobs with companies unless they recuse themselves from contract decisions involving those companies.
On November 24, 2003, Druyun and Boeing Chief Financial Officer Michael Sears were fired. One week later, Boeing Chief Executive Office Phil Condit resigned.
On October 1, 2004, Druyun was sentenced to nine months in prison by U.S. District Judge T.S. Ellis in federal court in Alexandria, Virginia. On February 18, 2005, Sears was sentenced to four months in prison and fined $250,000 by U.S. District Court Judge Gerald Lee.
According to court documents, Sears and Druyun secretly met in a private conference room at Orlando International Airport On October 17, 2002, to discuss her future plans. Druyun told Sears she had already agreed to take a job with another company, but said she would consider an offer from Boeing. Druyun and Sears would later agree via e-mail to tell investigators they had not discussed her potential employment until early November 2002, after Druyun had signed a letter recusing herself from all Boeing matters before the Air Force. In subsequent e-mails and phone conversations, Sears implored Druyun to "hang tough" as investigators began questioning her about how she got her Boeing job.
Read more about this topic: National Legal And Policy Center
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