Defense contractor Northrop Grumman Corp. has agreed to pay $62 million to settle a nearly 16-year-old case alleging that the company systematically overcharged for materials used in the production of high-tech devices for warplanes. The government also claimed that Northrop inflated costs and lied about the progress of a radar jammer.
The payment is only about a sixth of the $369 million that the government had been seeking.
The case was the result of a qui tam whistleblower lawsuit brought by two former employees.
The Chicago Tribune reported on the settlement on March 2, 2005