Report: Defense Dept. eyes practices of high-level officials now employed by Boeing, others.
NEW YORK - The U.S. Defense Department has launched an inquiry into high-level military officials who have taken jobs at defense contractors over the past few years, prompted by ethical problems at Boeing Co., according to a published report Monday.
The probe is expected to focus on Boeing (BA: Research, Estimates) first and then expand quickly to the hiring practices of other big military suppliers, the Wall Street Journal reported, citing a person familiar with the situation.
The inquiry stems from Boeing's firing of Michael Sears as chief financial officer in November for violating company policy by discussing a job offer with Darleen Druyun, who served as the Air Force's No. 2 acquisition official before joining the company in January.
She was also let go, before she had recused herself from Boeing-related negotiations.
Investigators are seeking to determine whether dozens of other Defense Department officials complied with federal requirements to refrain from participating in certain program decisions both before and after moving to the private sector, according to the paper, citing people familiar with the details.
Boeing officials could not be reached immediately for comment.