By Nick Schwellenbach
Crackerjack Pentagon correspondent Tony Capaccio broke the news on Bloomberg today:
Boeing Co. charged the U.S. Army excessive prices for helicopter spare parts, including $644.75 for a tiny black plastic motor gear that cost another Pentagon agency $12.51, according to the Defense Department’s Inspector General.
Boeing earlier this year refunded $556,006 on the “spur gear” after an audit draft was issued. The second-largest defense contractor issued an additional $76,849 Army refund for a dime-sized, plastic “roller assembly” that costs $7.71; Boeing charged the Army $1,678.61 apiece. Both are installed on the CH-47 Chinook.
The full Inspector General report is not out yet, but the results in brief are.
POGO was founded 30 years ago and is celebrating its 30th anniversary next week. We gained widespread fame exposing spare parts horror stories in the 1980s—apparently they, like POGO, haven’t gone away.
Nick Schwellenbach is POGO's Director of Investigations.
Image: Defense Department Office of Inspector General.
- Quintana v. Boeing (KC-135 Labor Overbilling)
- Defective Work and Overbilling on KC-10
- KC-135 and RC-135 Aircraft Parts Overbilling