Boeing strikes deal to avoid harsher ethics probe in NASA’s lunar lander scandal

Boeing has struck a deal with both NASA and the Air Force in order to avoid a harsher and more extensive ethics probe into its part in the NASA lunar lander contract bidding scandal.

The agreement, signed in August, comes as federal prosecutors continue a criminal investigation into whether NASA’s former human exploration chief, Doug Loverro, improperly guided Boeing space executive Jim Chilton during the contract bidding process.

By agreeing to the “Compliance Program Enhancements”, the aerospace heavyweight staves off harsher consequences from NASA and the Air Force – its space division’s top customers – such as being suspended or debarred from bidding on future space contracts. The agreement calls for Boeing to pay a “third party expert” to assess its ethics and compliance programs and review training procedures for executives who liaise with government officials, citing “concerns related to procurement integrity” during NASA’s Human Landing System competition.

Since Loverro resigned in May, Boeing has fired one company attorney and a group of mid-level employees, three people familiar with the actions told Reuters.

The deal seems like a bureaucratic whitewash, designed to take the heat off the company. And since Boeing as a company has many problems, I remain skeptical that any of this will make a difference in getting things fixed.

Criminal investigation begun against former NASA manned program head

The U.S. Attorney’s office for DC has opened a criminal investigation into actions taken by Doug Loverro, the former head of NASA’s manned program, during contract bidding for a NASA lunar lander project.

The grand jury investigation concerns communications between Doug Loverro, then the chief of human spaceflight for NASA, and Jim Chilton, senior vice president of Boeing’s space and launch division. These discussions occurred early this year, during a blackout period when NASA was taking bids to construct a Human Landing System for the Artemis Moon Program. It is not permissible to interfere with a competition for government contracts.

“Mr. Loverro, who wasn’t part of NASA’s official contracting staff, informed Mr.Chilton that the Chicago aerospace giant was about to be eliminated from the competition based on cost and technical evaluations,” the report states, citing unidentified sources. “Within days, Boeing submitted a revised proposal.”

The analysis at the link is excellent. Read it all.