July 21, 2006 General Electric Co. (GE)
General Electric Co. (GE) and two of its subcontractors have agreed to pay $11.5 Million Dollars to settle claims which were the subject of a qui tam action filed by several of GE’s former employees. The employees claimed that GE sold defective aircraft parts to the Department of Defense. More specifically, the employees alleged that GE sold defective blades for engines in U.S. military airplanes and helicopters.
As part of a settlement, the former employees who filed the qui tam claims, are to receive over $2.3 Million for having filed the action.
See U.S. Dept of Justice Press Release 7/21/06