U.S. Sues General Dynamics
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The Justice Department filed suit in U.S. District Court in Los Angeles today alleging that General Dynamics Corp. wrongfully charged the government on a contract for the production of the so-called Sgt. York anti-aircraft gun system.
The civil suit seeks an undetermined amount of money from General Dynamics. Defense Secretary Caspar W. Weinberger said the gun performed poorly in tests and canceled the weapon system contract last August. From 1978 to 1980, General Dynamics wrongfully charged costs of fulfilling a contract for the production of prototype air defense guns to certain overhead accounts, the lawsuit said.
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