Raytheon parent to pay $200M in fines, remediation over export control violations
By 
Aaron Nicodemus2024-09-05T12:00:00
RTX Corp., the parent company of Raytheon, agreed to pay $200 million in fines and remediation to address hundreds of export control violations that led to the disclosure of sensitive military secrets.
The consent agreement between RTX and the State Department, published Friday, resolves 750 violations of the Arms Export Control Act (AECA) and the International Traffic in Arms Regulations (ITAR) by Raytheon and several subsidiaries that occurred from 2017-23.
RTX self-disclosed the violations, cooperated with the investigation, and implemented “numerous” compliance remediations to address many of the issues uncovered during the investigation, the State Department said in a press release. As part of its remediation plan, RTX will hire a special compliance officer to oversee the consent agreement.
THIS IS MEMBERS-ONLY CONTENT
You are not logged in and do not have access to members-only content.
If you are already a registered user or a member, SIGN IN now.
Related articles
-
PremiumRTX and Raytheon: A case study in juggling four compliance monitors
In October 2024, aerospace and defense company Raytheon and parent company RTX reached a $950 million settlement with U.S. government agencies to resolve multiple federal law violations. More significant than the criminal penalties were the four compliance monitorships that came with the agreements.
-
PremiumRaytheon parent RTX settles false claims, defective pricing, Qatar FCPA violations for $950M
The other shoe finally dropped for Raytheon and parent company RTX, as two U.S. regulators announced nearly $1 billion in penalties to settle defective pricing in defense contracts, false claims related to inflated prices on government contracts, and bribes paid to government officials in Qatar that violated the FCPA.
-
PremiumHow lax compliance led three defense companies to give military secrets to U.S. adversaries
There are dozens of ways foreign countries can get their hands on U.S. military secrets, including cyberhacking, espionage, theft, and more. But one increasingly concerning way has been through unintentional disclosures by trusted defense contractors, including Boeing, 3D Systems Corp., and RTX Corp., parent company of Raytheon.
More from Regulatory Enforcement
-
News BriefFTC puts GM’s puts connected vehicle data practices under compliance spotlight
The U.S. Federal Trade Commission finalized its order against General Motors and its OnStar subsidiary over the improper usage of geolocation and driving behavior data of drivers.
-
ArticleKaiser plans pay $556M to settle Medicare upcoding allegations
Kaiser Health affiliates have agreed to pay more than $556 million to settle allegations originally made by whistleblowers that they ignored compliance department warnings and unlawfully reworked diagnoses for Medicare patients in order to receive higher payments from the federal government.
-
ArticleU.K. regulators move to curb AI nudification tools as scrutiny of Grok grows
The U.K. government’s spat with Big Tech owner Elon Musk over the more risque capabilities of X’s AI assistant Grok has exposed more cracks than the chatbot was ever meant to.