Raytheon Technologies headquarters building at dusk on January 20, 2024 in Arlington, Virginia.
J. David Ake | Getty Images
Defense contractor Raytheon subsidiary RTX The government agreed Wednesday to pay more than $950 million to resolve a U.S. Department of Justice investigation into a government contract fraud scheme and alleged violations of the Foreign Bribery Act and the Arms Export Control Act.
Raytheon also agreed to pay more than $124 million to resolve charges brought by the court. U.S. Securities and Exchange Commission The company is accused of paying more than $32 million in bribes to relatives of the emir of Qatar and military and government officials in exchange for winning Qatari defense contracts, violating the Foreign Corrupt Practices Act. More than $22 million of this settlement will be offset by a settlement between Raytheon and the Department of Justice.
As part of the settlement with the Department of Justice, the company also agreed to enter into deferred prosecution agreements relating to its conduct in federal district courts in Brooklyn, New York and Massachusetts.
The company was charged in the Brooklyn case with conspiracy to violate anti-bribery laws in a scheme to bribe Qatari government officials and failing to disclose bribes in legally required export license applications to the State Department.
In the Massachusetts case, Raytheon admitted to engaging in two separate schemes to defraud the Department of Defense related to Patriot missile and radar systems and other defense products and services.
As part of the settlement announced by the Department of Justice, the company will also hire an independent monitor for three years and strengthen its internal compliance program.
“Raytheon engaged in a criminal scheme to defraud the U.S. government in connection with a critical military systems contract and to obtain business through bribery in Qatar,” Assistant Attorney General Kevin Driscoll of the Justice Department’s Criminal Division said in a statement. Ta.
“Such corruption and fraud, especially by publicly traded U.S. defense contractors, undermines public trust and harms the Department of Defense, companies that play by the rules, and American taxpayers,” Driscoll said. Ta.
RTX said in a statement that the settlements with the Department of Justice and SEC are related to investigations previously disclosed by the company, and that “these legacy legal issues are primarily related to conduct that occurred at Raytheon Corporation prior to 2020. It’s related.”
“RTX takes responsibility for the misconduct that occurred,” the company said. “We have worked diligently during the investigation to correct any wrongdoing and will continue to do so. We are committed to working closely together.”