home *** CD-ROM | disk | FTP | other *** search
- <text id=91TT1882>
- <title>
- Aug. 26, 1991: American Notes:Scandals
- </title>
- <history>
- TIME--The Weekly Newsmagazine--1991
- Aug. 26, 1991 Science Under Siege
- </history>
- <article>
- <source>Time Magazine</source>
- <hdr>
- NATION, Page 23
- American Notes
- SCANDALS
- GE Brings Bad Things to Light
- </hdr><body>
- <p> There are at least two things that Israelis like to think
- they can lean on: their military, and the $1.8 billion they
- receive annually from the U.S. to buy arms. Both pillars trembled
- when the Justice Department, in a Cincinnati lawsuit unsealed last
- week, accused General Electric Co. of conspiring with Israeli
- General Rami Dotan to defraud Washington of $30 million in U.S.
- military aid by padding invoices and charging for work that was
- never done. Last March, Dotan was sentenced to 13 years in
- prison for his role in the scam, which investigators believe
- diverted into his bank accounts money earmarked for the
- purchase of F-16 engines.
- </p>
- <p> GE, which is conducting its own investigation, has
- dismissed the engine division's international sales manager. But
- the company criticized Chester Walsh, the executive who exposed
- the scheme under a federal law that protects and rewards
- whistle-blowers, grousing that he should have reported his
- suspicions to the company first. Walsh may eventually be able
- to shrug off his bosses' disapproval. If the charges stick, he
- could receive as much as 30% of the amount recovered by the
- government from his company.
- </p>
-
- </body></article>
- </text>
-
-