Boeing Charged Air Force $150,000 for Soap Dispensers, Pentagon Watchdog Finds Overcharges in Spare Parts

Boeing overcharged the Air Force by 7,943% on soap dispensers for C-17 transport planes, billing $149,072 for an undisclosed number of dispensers, according to a Pentagon watchdog report. The Department of Defense Office of Inspector General highlighted nearly $1 million in overcharges on various spare parts, urging the Air Force to tighten its spending controls to prevent further waste on the contract, which runs through 2031.

Inspector General Robert Storch stated, “Significant overpayments for spare parts may reduce the number of spare parts that Boeing can purchase on the contract, potentially reducing C-17 readiness worldwide.” Boeing is reviewing the report and asserts that the parts required extensive modifications to meet military standards. This incident underlines the Pentagon’s ongoing struggle with defense contractor overcharges and the challenge of preventing them amid a $900 billion budget.