Defense Acquisition Fraud and Cover-Up

My last duty assignment for the Air Force was to transfer software to the Air Force for the C-130 Avionics Modernization Program.  Exposure to that program revealed many questionable acts.  For example:  C-130 AMP development started with a fixed-price subcontract for system software development.  Over several years, the program office paid the entire agreed fixed price for accomplishment of less than half of the software development task.  Then, in spite of the subcontractor’s default, the program office administratively “converted” the fixed-price software-development subcontract to cost-plus.  Now, over the passage of nine more years, the program office has paid more than ten times the original fixed price for C-130 AMP software development.

 

I filed a criminal complaint with the FBI to report this action and several other acts that I believe constitute federal crimes.  If these crimes go uncorrected, in addition to gross overpayment for system development, they will likely embezzle system specifications and software that cost the public over $1.5B.  In turn, illicit developer sole possession and control of system specifications and software will create a false absence of competition that will likely result in (1) the public paying whatever the developer wants for system production and sustainment throughout the life of the program and (2) the public paying for redevelopment instead of reuse of C-130 AMP specifications and software that could satisfy similar requirements in other programs.

 

The FBI deferred my complaint to the Air Force Office of Special Investigation.  Two years have passed with no indication that they have done anything other than cooperatively squelch my complaint.

 

More important than this case itself is that it shows fraud and cover-up could exist in every defense acquisition program.  The largest defense acquisition programs could account for trillions of dollars in public loss and debt, and major degradation of national security.

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Comment by John Cart on November 30, 2013 at 9:27pm

The money is going to the subcontractor ... more than ten times what the Air Force legally agreed to pay. 

Comment by Judy Eades on November 29, 2013 at 5:55pm

Wonder where the money is going.

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“This morning, the President doubled down on his attacks on our four colleagues suggesting they apologize to him,” she added. “Let me be clear, our Caucus will continue to forcefully respond to these disgusting attacks.”

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Sheila Jackson Lee  @JacksonLeeTX18

Congresswoman Sheila Jackson Lee will be drafting a Resolution of Condemnation for the words used by President Trump about four members of the House of Representatives over the weekend.

Donald J. Trump  @realDonaldTrump

So interesting to see “Progressive” Democrat Congresswomen, who originally came from countries whose governments are a complete and total catastrophe, the worst, most corrupt and inept anywhere in the world (if they even have a functioning government at all), now loudly......

Donald J. Trump  @realDonaldTrump

So interesting to see “Progressive” Democrat Congresswomen, who originally came from countries whose governments are a complete and total catastrophe, the worst, most corrupt and inept anywhere in the world (if they even have a functioning government at all), now loudly......

Donald J. Trump  @realDonaldTrump

....and viciously telling the people of the United States, the greatest and most powerful Nation on earth, how our government is to be run. Why don’t they go back and help fix the totally broken and crime infested places from which they came. Then come back and show us how....

Donald J. Trump  @realDonaldTrump

....and viciously telling the people of the United States, the greatest and most powerful Nation on earth, how our government is to be run. Why don’t they go back and help fix the totally broken and crime infested places from which they came. Then come back and show us how....

Donald J. Trump  @realDonaldTrump

....it is done. These places need your help badly, you can’t leave fast enough. I’m sure that Nancy Pelosi would be very happy to quickly work out free travel arrangements!

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“You are stoking white nationalism because you are angry that people like us are serving in Congress and fighting against your hate-filled agenda,” Omar wrote:

Ilhan Omar  @IlhanMN


As Members of Congress, the only country we swear an oath to is the United States.

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Donald J. Trump  @realDonaldTrump

So interesting to see “Progressive” Democrat Congresswomen, who originally came from countries whose governments are a complete and total catastrophe, the worst, most corrupt and inept anywhere in the world (if they even have a functioning government at all), now loudly......

Ilhan Omar  @IlhanMN

You are stoking white nationalism bc you are angry that people like us are serving in Congress and fighting against your hate-filled agenda.

“America's answer to the intolerant man is diversity, the very diversity which our heritage of religious freedom has inspired.” -RFK

Rep. Ocasio-Cortez claimed Monday that President Trump’s remarks serve as the “hallmark language of white supremacists.”

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Donald J. Trump  @realDonaldTrump

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