A Little Too Up-Front

A Pentagon report nails those who prepaid McDonnell Douglas Corp.

A NIGHT IN A CHEAP HOTEL USUALLY REQUIRES payment in advance. But relations between major defense contractors and the Air Force are thought to be a cut above that. Not always, according to a report from the acting Pentagon inspector general, which recommends disciplinary measures against a cluster of Air Force generals and civilian procurement specialists. The report accuses several Pentagon officials of advancing McDonnell Douglas Corp. $500 million in 1990 to see the aerospace giant through troubles associated with the C-17 military transport plane. The report urges disciplinary action for three generals and two civilians alleged to be involved in...

Want the full story?

Subscribe Now


Get TIME the way you want it

  • One Week Digital Pass — $4.99
  • Monthly Pay-As-You-Go DIGITAL ACCESS$2.99
  • One Year ALL ACCESSJust $30!   Best Deal!
    Print Magazine + Digital Edition + Subscriber-only Content on TIME.com

Learn more about the benefits of being a TIME subscriber

If you are already a subscriber sign up — registration is free!