TransDigm to repay $16 million for overcharging the Pentagon

Published 05/24/2019, 03:37 PM
Updated 05/24/2019, 03:40 PM
© Reuters.  TransDigm to repay $16 million for overcharging the Pentagon

(Reuters) - Aircraft component maker TransDigm Group said on Friday it had agreed to repay $16 million to the Pentagon after it was admonished last week during a hearing on its billing practices.

Executives for TransDigm testified before a Congressional committee after a Pentagon-endorsed investigation found the company made profits exceeding 1,000% on some spare parts and equipment.

"While this is a good first step, we must do even more in the future to prevent unscrupulous contractors from holding us hostage through abusive monopoly contracts," House Oversight Committee Chairman Elijah Cummings said.

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