June 30, 2006 The Boeing Company

The Boeing Company has agreed to pay $615 Million to resolve fraud claims relating to the company’s hiring of a former Principal Deputy Assistant Secretary of the Air Force, Darleen A. Druyun. 

Druyun was the Air Force’s top procurement officer, who wielded influence over billions of dollars in government contract awards, many of which were sought by, and awarded to, Boeing.  In 2000, while in a position to influence the award of such contracts to companies which included Boeing and Lockheed, Druyun requested of Boeing that it hire her daughter and future son-in-law, and Boeing complied with that request.  Druyun was responsible for dozens of Boeing contracts, including a controversial $23 Billion Dollar procurement to lease a fleet of KC-767 refueling tankers.  In 2002, Druyun retired from the Air Force and went to work for Boeing. 

Within the context of a criminal proceeding for violations of conflict of interest statutes, Druyun admitted that Boeings favors in hiring her children and in offering her a job influenced her contracting decisions.

See U.S. Dept of Justice Press Release 6/30/06

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