Jan 11 2000

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The U.S. Department of Justice filed a lawsuit against Rockwell International Inc., Boeing North American Inc., and United Space Alliance for concealing millions of dollars in fraud committed by a subcontractor. According to the suit, the subcontractor had used funds from the Shuttle program to purchase homes, jewelry, and vacations. The subcontractor accused of the fraud had pled guilty to all charges five years earlier, and the culpability of the major aerospace companies in concealing the theft was the last significant legal matter to come to trial. The three companies claimed that they had cooperated with government investigations into the 180 felony fraud violations and were not liable for the actions of the rogue subcontractor.

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