Defense firm to pay $9.5M for obstruction
Source: Associated Press, May 6, 2008
A defense contractor accused of overcharging the U.S. government for radar components pleaded guilty Monday to obstruction and will pay $9.5 million in fines, federal authorities said. (.pdf)
Herley Industries, based in Lancaster County, Pa., admitted to two counts of obstructing audits of bids to supply components for Navy and Air Force radar systems. Its former chairman Lee N. Blatt, 80, pleaded guilty to failing to create and maintain tax records; he was sentenced to a year's probation, community service and a $25,000 fine.