The Intercept reports:

RTX Corporation, the weapons giant formerly (and better) known as Raytheon, agreed on Wednesday to pay almost $1 billion to resolve allegations that it defrauded the U.S. government and paid bribes to secure business with Qatar.

“Raytheon engaged in criminal schemes to defraud the U.S. government,” said Deputy Assistant Attorney General Kevin Driscoll of the Justice Department’s Criminal Division on Wednesday. “Such corrupt and fraudulent conduct, especially by a publicly traded U.S. defense contractor, erodes public trust and harms the DOD, businesses that play by the rules, and American taxpayers.”

RTX, as part of this agreement that spanned multiple investigations into its business, admitted to engaging in two separate schemes to defraud the Defense Department, which included deals for a radar system and Patriot missile systems. It also agreed to enter a separate deferred prosecution agreement, which requires increased government oversight and transparency for the next three years, in connection with the Qatari kickbacks.

“Over the course of several years, Raytheon employees bribed a high-level Qatari military official to obtain lucrative defense contracts and concealed the bribe payments by falsifying documents to the government, in violation of laws including those designed to protect our national security,” said Breon Peace, U.S. attorney for the Eastern District of New York. “We will continue to pursue justice against corruption, and as this agreement establishes, enforce meaningful consequences, reforms and monitorship to ensure this misconduct is not repeated.”

The $950 million payment includes criminal penalties, civil fines, restitution, and the return of profits that RTX made by bilking the Pentagon.

The announcement is a rare example of a major defense company being held accountable for its white-collar crimes. But while defrauding the government and breaking international corruption laws, Raytheon has also been party to potential war crimes in recent years.

One of the largest military contractors on Earth, Raytheon makes missiles, bombs, components for fighter jets and many other weapon systems used in war zones from Afghanistan and Iraq to Gaza and Yemen. Civilians have frequently paid the price. [Continue reading…]