The Nation - News from June 25, 1989

The Defense Department is investigating the Boeing Co.’s billing practices for research and development costs related to government contracts, the company said in Seattle. Boeing spokesman Paul Binder declined to provide details of the billing practices probe, but he did confirm that an investigation is under way. The Seattle Post-Intelligencer reported in its Saturday editions that it has obtained internal Boeing memos that say the company is under subpoena to preserve a wide assortment of documents. A memo dated June 13 named the target as the Sea Lance program, an anti-submarine weapon Boeing is developing for the Navy, the newspaper reported.