Indictments Handed Up Against Garden Grove Firm in B-1B Case

A Garden Grove defense contractor and one of its vice presidents have been indicted by a federal grand jury on charges of falsifying inspection reports to minimize flaws in windshields the firm makes for B-1B bombers, a federal prosecutor said Thursday.

Swedlow Inc. and Vice President Norman Gene Nixon, 53, of Orange, were each indicted Wednesday on four counts of making false statements to the federal government. The indictment alleges that Nixon directed employees to misrepresent the size of defects in four of the windshields that it produced under a 1988 contract with the Air Force.

“Mr. Nixon denies he directed employees to prepare incorrect information,” his attorney, Robert M. Talcott, said. “He intends to vigorously resist the charges and expects to be vindicated by a jury.”

Swedlow lawyer Jack Gold said Thursday that the four windshields in question are perfectly fit for flight.

The government confirmed that the windshields, used as spares, were approved for installation, but said it brought the charges because the company allegedly falsified reports and made unauthorized repairs on the windshields.

The company’s contract with the Air Force required that it notify that service of any defects longer than four inches before repairs were made.

“We think it’s extremely unfair for them to use a cannon to kill a fly,” Gold said. He added that the company believes Nixon is innocent of the charges.

Nixon is scheduled to be arraigned Oct. 23 in Santa Ana. If convicted, he faces fines of up to $1 million and 20 years’ imprisonment, according to Assistant U.S. Atty. Edward R. McGah Jr. Swedlow faces fines of up to $1 million.

The Swedlow indictment is the latest effort in a two-year crackdown on the sale of shoddy materials by defense companies and their subcontractors. Everything from cracked jet engine blades to counterfeit nuts and bolts have been discovered in both commercial and military aircraft.

The Swedlow investigation began after an employee contacted the Federal Bureau of Investigation in Santa Ana, alleging that Nixon was instructing workers to cover up the extent of the defects, according to law enforcement sources.

Swedlow is one of the nation’s largest manufacturers of military aircraft windows. The company employs about 700 people in Garden Grove and has annual sales of approximately $55 million, Gold said.

The company was acquired for $42.3 million in December, 1986, by a subsidiary of British conglomerate Pilkington Bros. PLC. The acquisition ended a 16-month effort by chairman David A. Swedlow and his former wife to sell their 49% stake in the company.