Boeing has filed a motion to dismiss a False Claims Act (FCA) suit brought by Relator Ahmed Bashir, who alleges that Boeing used an unqualified subcontractor on a $3.9 billion contract to build Air Force One aircraft. Bashir originally filed suit in April 2019, with the case unsealed in July 2022 after the U.S. Department of Justice declined to intervene.
Boeing hired subcontractor GDC Technics LLC in 2018 to design, build, and install interiors as part of a contract for two new Air Force One jets. Boeing cancelled the contract in April 2021 after GDC began falling behind on its contractual obligations, with GDC entering into Chapter 11 bankruptcy a few weeks later.
Bashir alleges that Boeing knew GDC was insolvent and wouldn’t fully perform on the contract in 2018 but steered the subcontract to GDC anyway to try to increase its chances of partnering with the Saudi government—GDC’s then-majority owner—on a lucrative military joint venture.
Boeing argued in its motion to dismiss that the complaint lacks specificity; that there is no plausible allegation that Boeing made any specific false claims to the government, and “in fact, Bashir does not describe any of Boeing’s claims for payment at all,” Boeing said. Further, the complaint cites to certain laws that are allegedly inapplicable to Boeing. Boeing also claims that this lawsuit is motivated by personal disappointment, as Bashir is upset that his company, Emerald Aerospace, was passed over by Boeing for GDC.
The case is U.S. ex rel. Bashir v. The Boeing Co. et al., case number 2:19-cv-00600, in the U.S. District Court for the Western District of Washington.
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