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Feds: Boeing leaked secrets

Jan 6, 2003  •  Post A Comment

The U.S. State Department accused Boeing Co.’s satellite systems unit, along with Hughes Electronics Corp., of illegally sharing space technology in the mid-1990s that may have helped China develop missiles. The companies were formally charged with 123 violations of the Arms Export Control Act and the International Traffic in Arms Regulations. Both the Chicago-based aerospace giant and California’s Hughes, whose space business was acquired by Boeing in 2000, have long denied any wrongdoing in the case. Boeing last week emphasized that the alleged violations occurred before it acquired the satellite business and noted that Hughes had agreed to retain responsibility for resolving the matter. Separately, Boeing finished last year behind French planemaker Airbus, which on Dec. 30 signed a $3-billion-plus, 120-plane order from European discount carrier easyJet Airline Co. Ltd.