Federal Contractor Misconduct Database (FCMD)

The federal government routinely awards contracts to companies with histories of misconduct, including contract fraud and other violations. POGO believes that providing this website will help to improve contracting decisions and increase public knowledge of how the government spends billions of taxpayer dollars each year. Read more…

Mischarged Costs on C27J Aircraft Program

Lockheed Martin reached a $10.3 million False Claims Act settlement with the federal government over claims that its Marietta, Georgia aircraft manufacturing division inflated the overhead rates on contracts with the U.S. Air Force and U.S. Navy from 1996 to 2000. The settlement resolved the government’s allegations that Lockheed Martin mischarged costs in a deal with Alenia Aerospazio, an Italian aerospace company, to develop the C27J tactical transport aircraft. The government claimed Lockheed charged business development, proposal and other commercial costs to government accounts.

Misconduct Type
Government Contract Fraud
Enforcement Agency
Defense – General
Contracting Party
Defense - General
Court Type
Date of Settlement Announcement
Contractors Involved Penalty
Lockheed Martin $10,280,000
Further Information Released
DOJ Press Release 3/4/2011

Federal Contractor Misconduct Database