fbpx

Lockheed Martin Settles Allegations of Passing On Inflated Costs to U.S. Government

Lockheed Martin Corp., the largest defense contractor in the U.S., settled a False Claims Act case in March 2012 for $15.85 million.

The lawsuit, filed in Dallas federal court, alleged that Lockheed and its subcontractor, Tools & Metals, Inc., engaged in a seven-year pricing fraud by mischarging the federal government for tools used on military aircraft. The subcontractor allegedly inflated the costs of certain perishable tools to Lockheed, and Lockheed passed the excessive costs on to the government

Previously, in 2005, the former president of Tools & Metals, Inc. pleaded guilty to fraud charges and was sentenced to seven years in prison for his role in the overcharging scheme. The two whistleblowers who initiated the suit shared $2 million of the government’s recovery.

What are my chances?

That’s the first question everyone asks. The truth is it’s impossible to know. But we can tell you this. Waters Kraus Paul & Siegel has what it takes to fight against big corporate interests and win. That’s why we’ve taken more mesothelioma trials to verdict than any other firm. And that’s why we’ve recovered more than $1.3 billion for clients like you. Do you think you have a case? Contact us now to speak with an attorney.

Call 800.226.9880