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Rockwell Indicted on Overbilling

January 26, 1988|United Press International

Rockwell International was indicted by a federal grand jury in Los Angeles today for overcharging the government nearly $500,000 for work on parts of an Air Force satellite navigational system. The indictment charges that the aerospace giant overbilled the federal government in a $1.2-billion contract for the Navstar Global Positioning System, which is being built at Rockwell's satellite systems division in Seal Beach, said Assistant U.S. Atty. Janet Goldstein.

The Air Force said 24 of the 28 satellites Rockwell is building will be launched in the next five years. The system is designed to send navigational directions to ground troops and to military and civilian planes and ships. The indictment also charges Rockwell with contempt for violating a 1982 agreement where it admitted billing the space shuttle program for work done on other projects.

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