LOS ANGELES (CN) - Without admitting wrongdoing, the Boeing Co. agreed to pay $4 million to settle federal prosecutors' claims that it inflated the price of a B-1 Bomber anti-missile decoy system it built for the Air Force.
The government sued the weapons giant in 2008, charging Boeing with providing false information in its contract proposal to the Air Force and failing to disclose that it had previously built the Towed Decoy System (TDS) kits for less.
Boeing agreed Wednesday to settle those charges, promising to pay $4 million within seven days, according to prosecutors.
The TDS, as its name suggests, is towed behind a B-1 Bomber and deploys a decoy when the aircraft is threatened by guided missiles.
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