A False Claims Act whistleblower lawsuit against the prime
contractors for the Coast Guard’s $26 billion Deepwater acquisition
program will go to trial in November 2010, a U.S. District Court judge
has ruled. Deepwater is the Coast Guard’s largest acquisition program and includes the production of new assets including national security
cutters and patrol boats. Former Lockheed Martin Corp. engineer Michael J. DeKort filed the complaint against
Integrated Coast Guard Systems, a joint venture of Lockheed Martin and
Northrop Grumman Corp. DeKort accused the companies of being seriously
deficient in carrying out the contract and caused major safety,
security and national security problems and wasted taxpayers' money.
On Oct. 5, U.S. District Judge Reed O’Connor of U.S. District Court for the Northern District of Texas issued a schedule for pleadings, naming of expert
witnesses, identifying evidence, and a trial. He also instructed the
parties to hire a mediator and attempt to come to an agreement to
resolve the case. The trial will take place upon two days’ notice at
any time during the four weeks that start Nov. 1, 2010.
The Coast Guard has acknowledged several significant problems with the program, and in 2007 the service rejected eight new patrol boats due to structural problems with the hulls. The Coast Guard is seeking a refund for $96 million for unsound patrol boats produced under Deepwater.
Excerpted from washingtontechnology.com.
