August 20, 2003  Northrop Grumman

The Northrop Grumman Corporation has agreed to pay $80 Million Dollars to settle two qui tam actions, one of which was filed by one of its employees. The actions involved two claims, one of which was that the company sold the Navy unmanned aerial vehicles, known as target drones, that contained defective parts. The other claim was that one of its subsidiaries mischarged the federal government for research & development costs it incurred in the design and development of double hulled tankers, which the company was actually building for commercial customers, and not for the government.

The persons who filed the qui tam actions are expected to receive between 15% and 25% of the $80 Million Dollar settlement for having filed the actions.

See U.S. Dept of Justice Press Release 8/20/03

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