Federal Fraud Suit Filed Against Hughes: Federal...
From Times Staff and Wire Reports
Federal Fraud Suit Filed Against Hughes: Federal prosecutors in Los Angeles filed a civil fraud suit against Hughes Aircraft Co., charging that it lied about the cost of spare parts used in the F-15 fighter jet’s radar. In 1982, according to the suit, Hughes said an electronic component would cost the company $663--the amount the government paid--although Hughes officials knew the real cost would not exceed $395.88. A Hughes spokesman said company officials had not seen the suit yet and had no comment. It was not immediately known how many microchips were involved or how much in damages was being sought.
