RTX Corp. said it has set aside a combined $959 million as part of a deal with the US government to settle a criminal investigation into pricing for missile and defense services, as well as a separate corruption probe, according tothe company SEC filing.The company, expects to enter into a three-year deferred-prosecution agreement with the Justice Department, which will include oversight by a corporate monitor, RTX said Thursday in filing with the US Securities and Exchange Commission.
RTX has set aside $575 million to cover potential penalties that come out of the defective pricing probes and another $384 million for the corruption matter, according to the filing.The Justice Department began investigating Raytheon in October 2020 and its probe looked into pricing claims made by Raytheon for missiles and defense contracts entered into between 2011 and 2013 as well as one from 2017, filings show. Separately, the government has been investigating possible improper payments by Raytheon involving contracts with certain Middle East countries.
Jeff Newman represents whistleblowers nationwide relating to Medicare and Medicaid fraud, under the state and federal False Claims Act (Qui Tam) laws. He also represents whistleblowers in major claims under the SEC, CFTC and FINCEN whistleblower programs and can be reached at Jeff@JeffNewmanLaw.com or at 617-823-3217
