Boeing overcharged the Air Force nearly $1-million for spare parts on C-17 cargo planes, including an 8,000% markup for simple lavatory soap dispensers, according to the Pentagon
overcharged the Air Force nearly $1 million for spare parts on C-17 cargo planes, including an 8,000% markup for simple lavatory soap dispensers, according to the Pentagon’s inspector general.
The Office of the Inspector General said it reviewed the soap dispenser prices after getting a hotline tip.“We are reviewing the report, which appears to be based on an inapt comparison of the prices paid for parts that meet aircraft and contract specifications and designs versus basic commercial items that would not be qualified or approved for use on the C-17,” Boeing said in a statement. “We will continue to work with the OIG and the U.S.
Since 2011, the U.S. government has awarded Boeing more than $30 billion in contracts to purchase needed spare parts for the C-17 and be reimbursed by the Air Force. This has been a particularly volatile year for the aerospace giant. It came under renewed scrutiny and federal investigations after a door plug flew off a 737 Max during an Alaska Airlines flight in January. Federal regulators limited Boeing production of the plane.
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