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Wed, Feb 16, 2005

DoD Refers Boeing Contracts to IG Investigators

Druyan's Legacy Could Cost Boeing Billions

Eight contracts totaling more than $3 billion have been referred for further investigation as part of the scandal surrounding Darleen Druyun.

Druyun was the Air Force's former chief acquisition officer. She was accused of steering contracts to Boeing in exchange for a job following her government service.

Druyun pleaded guilty to steering a lucrative contract to Boeing and admitted steering other contracts to the aerospace giant.

To further investigate, Michael W. Wynne, acting undersecretary of defense for acquisition, technology and logistics, asked the Defense Contract Management Agency to look at the 407 contracts Druyun was involved in since she assumed her position in 1993 to see if she influenced other awards.

The agency reported to Wynne and said eight contracts "appear to have anomalies." He has referred the results to the DoD inspector general for investigation.

"I would say that it pains me to find any instance where the contracts could have been manipulated for other than the best interests of the taxpayer," Wynne said. "There is no best practice or metric that would allow for anything other than a 'zero defect' in this area."

Even with the revelations made by Druyun (above), Wynne said he thinks the system is solid and that with changes being put in place, will get better.

If investigators find that Druyun manipulated other contracts, DoD will allow contractors to appeal the contract award.

The eight contracts in question are:

  • National Polar-orbiting Operational Environmental Satellite System –- Conical Microwave Imager Sensor
  • C-5 Avionics Modernization Program
  • Financial Information Resource System
  • C-22 Replacement Program; 60K Tunner Program Contractor Logistics
  • KC-135 Programmed Depot Maintenance
  • F-16 Mission Training Center
  • C-40 Lease and Purchase Program
FMI: www.af.mil, www.boeing.com

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