A former Boeing procurement officer in the US has been sentenced to 20 months in prison for selling information that helped a supplier win seven contracts to provide military aircraft parts worth $1.5 million (£930 million).
Deon Anderson, who worked in a senior procurement role at Boeing, provided inside information on historic prices and competitors’ bids to William Boozer, owner of Globe Dynamics International, which produced precision-machined parts and assembled complex components for Boeing. He pleaded guilty to to three counts of mail fraud, one count of wire fraud and one count of currency structuring in July.
Boozer was sentenced to 18 months in prison and a fine of $10,000 (£6,200). Co-defendant Robert Diaz, Jr, who owns and operates a defence consultancy which acted for numerous Boeing suppliers, was sentenced to 15 months in prison and a fine of $2,000 (£1,240) for paying Anderson for similar information.
Between November 2009 and February 2013, Anderson supplied information to Boozer that was used by Globe Dynamics in response to 16 different Boeing requests for quotes, in exchange for cash payments. Of the 16 quotes, Globe Dynamics was awarded seven purchase orders to supply US military aircraft parts to Boeing worth $1.5 million (£930 million). The net benefit to Globe Dynamics on those seven purchase orders was approximately $116,339 (£72,157).
Between May 2011 and April 2013, in exchange for cash, Anderson also provided JL Manufacturing, another defence supplier, which was advised by Diaz, information in connection with Boeing military aircraft part purchase order requests for quotes.
JL Manufacturing used the quotes on approximately nine different tenders and was awarded seven purchase orders to supply US military aircraft parts to Boeing totalling in excess of $2 million (£1.24 million).