Northrop Grumman to Pay $12.5 Million in False Claims Settlement; Whistleblower Awarded $2.4 Million

Northrop Grumman Corp. agreed to pay the federal government $12.5 million to settle allegations that the company caused false claims to be submitted to the government.

Allegedly, Northrop Grumman’s Navigation Systems Division failed to test electronic components it supplied for military airplane, helicopter and submarine navigation systems to ensure that the parts would function at the extreme temperatures required for military and space uses.

This case was filed under the qui tam provisions of the federal False Claims Act by whistleblower Allen Davis, a former quality assurance manager at Northrop Grumman’s Navigation Systems Division facility in Salt Lake City.  Mr. Davis will receive $2.4 million out of the settlement. 

Click here to read the full article, “Northrop Settles Gov’t Lawsuit for $12.5M”