22 Dec 14. Lockheed Martin Unit Forfeits $27.5m for Overbilling. A defense contractor producing products and services for U.S. troops in Iraq and Afghanistan agreed on Friday to repay the government $27.5m to settle overbilling charges brought under the False Claims Act. The Justice Department announced on Friday that Lockheed Martin Integrated Systems overbilled the Pentagon for work performed by employees who “lacked required job qualifications” but whose work was billed at the rate for qualified ones, allegedly to inflate profits. “Contractors that knowingly bill the government in violation of contract terms will face serious consequences,” said acting Assistant Attorney General Joyce Branda. “The department will ensure that those who do business with the government, and seek taxpayer funds, do so fairly and in accordance with the applicable rules.” The subsidiary of Bethesda, Md.-based Lockheed Martin Inc., has a Rapid Response contract and a Strategic Services Sourcing contract with the U.S. Army Communications and Electronics Command to deliver products and services to troops overseas. “This settlement demonstrates the commitment of the Defense Criminal Investigative Service and our partners to vigorously pursue alleged violations of the False Claims Act,” said Special Agent in Charge Craig Rupert of the DCIS Northeast Field Office. “All contractors doing business with the federal government are expected to abide by the acquisition rules no matter who they are. Investigations of such allegations are necessary to protect American taxpayers and our warfighters.” Lockheed Martin issued a statement saying it had “settled to avoid the distraction and risks of litigation and to allow us to focus on the critical and important work we are performing now and will perform in the future for our customers. We voluntarily disclosed the issues to the government and have fully cooperated with the government in their resolution. Lockheed Martin and the Department of Justice agree that the settlement is not an admission of liability or wrongdoing.” (Source: Open Source Information Report/GOVEEXC)
22 Dec 14. The Department of Defense accepted its final F-35 Lightning II aircraft delivery for 2014 meeting the program production goal of 36 aircraft. With the last delivery for this year, the government, Lockheed Martin and industry team has delivered 109 operational aircraft to the U.S. and partner nations since the program’s inception. The 36th delivery, known as CF-19, was the first F-35C carrier variant delivered to the Marine Corps. “Meeting U.S. and International aircraft delivery goals is a stepping stone,” said Lt. Gen. Chris Bogdan, F-35 Program Executive Officer. “It’s a global undertaking to build and deliver F-35s. Thousands of men and women produced the 300,000 individual parts from 46 U.S. states and 10 other countries to make these stealth fighters, and they should be proud of their accomplishment.” The 36 F-35 deliveries include:
* 23 F-35A – U.S. Air Force
* 2 F-35A – Royal Australian Air Force (first two)
* 4 F-35B – U.S. Marine Corps
* 7 F-35C – U.S. Navy and the U.S. Marine Corps (first Carrier Variant)
The 36 F-35 Lightning II aircraft are assigned to the following installations:
* 19 – Luke Air Force Base, Glendale, AZ
* 14 – Eglin Air Force Base, Valparaiso, FL
* 2 – Marine Corps Air Station, Beaufort, S.C.
* 1 – Marine Corps Air Station, Yuma, AZ
“Delivering the most F-35s in program history is a clear demonstration of our growing stability and ability to ramp up production,” said Lorraine Martin, Lockheed Martin F-35 Program General Manager. “Congratulations to the entire government and industry team for their work to deliver 36 aircraft.” The F-35 Lightning II is a 5th generation fighter which combines advanced low observable stealth technology with fighter speed and agility, fully-fused sensor information, network-enabled operations and advanced sustainment. Three distinct variants of the F-35 wi