Coast Guard Postpones Pursuing Refunds For Faulty Ships

Thursday, May 29, 2008

The U.S. Coast Guard said it will temporarily stop its review and suspend its pursuit of a $96.1m refund for faulty ships built by Lockheed Martin Corp. (LMT) and Northrop Grumman Corp. (NOC), pending a Justice Department investigation.  The Justice Department and the Department of Homeland Security Office of the Inspector General are investigating the Coast Guard's Deepwater contracts, including the eight, 123-ft. patrol boats found to have structural problems, the AP reported.
The Coast Guard will continue to provide documents and technical support to assist the government's investigation.
The latest move signals a shift by the Coast Guard, which earlier this year had begun the process for a formal negotiation with the Integrated Coast Guard System, the joint venture between Lockheed Martin and Northrop Grumman over the faulty boats.
After revoking acceptance of the patrol boats last May, the department demanded a refund from the ICGS. The boats were later removed from the waters off Florida in late 2006 and permanently decommissioned in April 2007. Some electronics issues on them were first identified in 2003 by Michael DeKort, a former Lockheed Martin employee, who later chronicled his complaints in a YouTube video.
Northrop Grumman builds the ships while Lockheed Martin provides communications equipment and other technology.
Source:  AP

Maritime Reporter April 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Coast Guard

Maritime Tension Dominates Southeast Asia Summit

Southeast Asian leaders edged closer to open criticism of China's land reclamation in the disputed South China Sea at a regional summit on Monday, as the Philippines

USCG Searching for Missing Boaters in Mobile Bay Area

The Coast Guard continues to search for at least five people in the Mobile Bay area Sunday. Rescuers searched throughout the night for the missing boaters and have covered a total of 1,

Grounded Bulker Refloated on St. Marys River

The grounded 603-foot Canadian bulk carrier Mississagi was refloated on the St. Marys River following operations to offload approximately 2,000 tons of stone, Saturday.

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Maritime Security Maritime Standards Naval Architecture Navigation Pod Propulsion Ship Repair Ship Simulators Sonar
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1098 sec (9 req/sec)