Boeing Agrees to $8.1 Million Settlement to Resolve Osprey Production Allegations

Boeing Agrees to $8.1 Million Settlement to Resolve Osprey Production Allegations

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Boeing has reached an $8.1 million settlement with the U.S. Department of Justice to resolve allegations of non-compliance with contractual obligations in the production of V-22 Osprey aircraft. The settlement, which addresses claims of violations of the False Claims Act, reflects the company's commitment to addressing these issues and ensuring adherence to contractual specifications.

The allegations against Boeing pertained to a period spanning from approximately 2007 through 2018. The U.S. Justice Department asserted that Boeing failed to meet specific requirements in the production of composite components for the tiltrotor V-22 Osprey aircraft at its Ridley Park, Pennsylvania facility. The V-22 Osprey is a military aircraft with the unique ability to take off vertically like a helicopter and then transition to forward flight by rotating its propellers.

The government's claims revolved around Boeing's alleged failure to conduct monthly testing on autoclaves used in the curing process of composite parts, as stipulated under its contract with the U.S. Navy. Additionally, Boeing was accused of not complying with additional testing-related requirements.

In response to these allegations, Boeing has entered into a settlement agreement with the U.S. Department of Justice and the U.S. Navy. The agreement, signed by legal representatives for Boeing and the Justice Department, acknowledges that Boeing denies any wrongdoing or non-compliance.

A spokesperson for Boeing affirmed the company's commitment to resolving these matters, stating, "Boeing entered a settlement agreement with the U.S. Department of Justice and the U.S. Navy to resolve certain False Claims Act allegations, without admission of liability."

This settlement underscores Boeing's dedication to upholding the highest standards of contract compliance and underscores its commitment to addressing any concerns that may arise during the course of its contractual obligations.