The New York Times
February 4, 2005
Boeing Hires a Legal Team to Handle Scandal Cases
By TIM WEINER
The Boeing Company, facing legal problems at the Pentagon and the Justice Department, has hired two politically experienced outside lawyers in several highly charged cases, a company official said Thursday.
~snip~
Dan Beck, a Boeing spokesman, said in an interview yesterday that the company had hired Jamie S. Gorelick, who was deputy United States attorney general and general counsel of the Pentagon in the Clinton administration, and Richard Cullen, who is a former Virginia attorney general and an experienced white-collar defense lawyer. The company's decision to hire them to handle potential settlements in criminal and civil cases was first reported yesterday by The Wall Street Journal.
~snip~
For the last 18 months, Boeing has been under a criminal investigation and the Air Force has barred it from new rocket contracts. The actions occurred after Peter B. Teets, the Air Force under secretary, said the company had "committed serious and substantial violations of federal law" by obtaining thousands of pages of proprietary Lockheed documents on the rocket launch business. The matter is in the hands of federal prosecutors, although no criminal charges have been filed. The Air Force also revoked $1 billion worth of scheduled Boeing rocket launches as a result of the case and awarded those contracts to Lockheed, which filed a civil suit charging Boeing with practicing "economic espionage." Boeing denies the accusation.
Another continuing investigation involves Boeing's central role in the Pentagon's biggest weapons procurement scandal since the 1980's. Michael M. Sears, Boeing's chief financial officer until he was implicated in that case, is to be sentenced Feb. 18 in federal court in Alexandria, Va. He pleaded guilty to offering a job to the Air Force's chief weapons buyer, Darleen A. Druyun, while she was overseeing billions of dollars in Boeing contracts.
~snip~
http://www.nytimes.com/2005/02/04/business/04boeing.html