Lobbying vis-a-vis A Conflict of Interest

I finally found information that I had been seeking of an incident going back about a year ago involving a contract negotiated between a Pentagon Officer and the Boeing Corporation. I remembered this as being very important, at the time, because of the national coverage given to the story. After a week or so, the coverage stopped and, to my disappointment, the story had disappeared off the radar screen. Finally, I came across an article written by David Phinney that had appeared a year earlier in CorpWatch. The title of the article was " Boeing Scandal Part of Deeper Problems at Pentagon." 
It seems that a Darleen Druyun, a  Pentagon Officer and former weapons buyer for the U.S. Air Force who was reaching retirement , had colluded with the Boeing Corporation to allow Boeing to inflate a contract proposal in return for a lucrative position with Boeing after she retired. Boeing also agreed to giving jobs to her daughter and son-in-law.  
Her crime? Violating conflict of interest laws. Druyun had been talking about possible job opportunities with Boeing at the same time she was negotiating a contract that would let Boeing pump up the price tag by $6 billion on a lease agreement for one hundred 767s tankers.
Soon after the deal was inked, a Boeing executive at the mammoth Chicago-headquartered aviation and aeronautics firm ushered Druyun into the company as a vice president with an annual salary of $250,000 after she retired in late 2002.
Once a Pentagon star, Druyun, 57, spent most of her adult life climbing the rungs of the male-dominated Pentagon where she publicly cultivated an image as a hard-knuckled bargainer on billions of dollars in defense contracts with the nation's largest defense companies. She was called the "Dragon Lady," but behind closed doors Druyun exercised a much cozier relationship when spending $30 billion a year, she admitted at her sentencing last fall. Since 2000, she gave special consideration on other billion-dollar contracts awarded to Boeing, a company where her daughter and future-son-in-law were given jobs, Druyun told the court.

Part of the pattern is age old. For decades there has been a constant revolving door where career government officials routinely retire from government into highly paid jobs with military contractors. Meanwhile, corporate executives take sabbaticals from their industry jobs to punch time cards in positions of authority at the Pentagon before returning to their old haunts.

Darleen Druyun is now  serving out a prison term in Marianna, Florida.
                                                         š
Of course, the story doesn't end here.. No mention is made of punishment to the Boeing Corporation. It would be helpful to know if the Boeing employees who corroborated with Druyun are also serving prison terms? Also, how is Boeing  Corporation being punished?
Has the government been able to recover its loss as well as any punitive damages? Anyone having this information, please respond.

Because of abuses, Washington is currently reviewing  the whole process of private and corporate donor contributions given to political parties and individual candidates. Washington has also begun to take up both the legality and ethical practices of lobbyists and the Lobbying  Industry.  I refer to recently publicized cases of two  former high level  people in government who are now lobbying and, briefly, their stories:

Lobbyist Ashcroft pulls in $269,000

Less than three months after registering as  a lobbyist, former Attorney General John Ashcro has banked at least $269,000 from just four clients and appears to be developing a practice based on companies that want to capitalize on a government demand for homeland security technology that boomed under sometimes controversial policies he promoted  while in office.

EPA Chief turns coal lobbyist

Former director of the Illinois Environmental Protection Agency, Renee Cipriano
pushed for tough limits on the mercury pollution that contaminates every river, stream and lake in the state. Six months after she left state government, Cipriano is still talking about mercury. Only now she is working for a power company that is trying to scuttle
mercury standards proposed last month by her former boss, Rod Blagojevich.

Can anyone explain, to me, what the difference is between "the conflict of interest case" that sent Darleen Druyun to prison, simply because it had occurred while she was still working for the Pentagon and the lobbying  activities of two former high ranking public
officials who, as insiders, had become well-acquainted with the personnel and had vast knowledge of the policies of the departments they had served in, and which would  therefore become extremely valuable to their clients and/or employers?

Thank you,

Poor Ben

I finally found information that I had been seeking of an incident going back about a year ago involving a contract negotiated between a Pentagon Officer and the Boeing Corporation. I remembered this as being very important, at the time, because of the national coverage given to the story. After a week or so, the coverage stopped and, to my disappointment, the story had disappeared off the radar screen. Finally, I came across an article written by David Phinney that had appeared a year earlier in CorpWatch. The title of the article was " Boeing Scandal Part of Deeper Problems at Pentagon." 
It seems that a Darleen Druyun, a  Pentagon Officer and former weapons buyer for the U.S. Air Force who was reaching retirement , had colluded with the Boeing Corporation to allow Boeing to inflate a contract proposal in return for a lucrative position with Boeing after she retired. Boeing also agreed to giving jobs to her daughter and son-in-law.  
Her crime? Violating conflict of interest laws. Druyun had been talking about possible job opportunities with Boeing at the same time she was negotiating a contract that would let Boeing pump up the price tag by $6 billion on a lease agreement for one hundred 767s tankers.
Soon after the deal was inked, a Boeing executive at the mammoth Chicago-headquartered aviation and aeronautics firm ushered Druyun into the company as a vice president with an annual salary of $250,000 after she retired in late 2002.
Once a Pentagon star, Druyun, 57, spent most of her adult life climbing the rungs of the male-dominated Pentagon where she publicly cultivated an image as a hard-knuckled bargainer on billions of dollars in defense contracts with the nation's largest defense companies. She was called the "Dragon Lady," but behind closed doors Druyun exercised a much cozier relationship when spending $30 billion a year, she admitted at her sentencing last fall. Since 2000, she gave special consideration on other billion-dollar contracts awarded to Boeing, a company where her daughter and future-son-in-law were given jobs, Druyun told the court.

Part of the pattern is age old. For decades there has been a constant revolving door where career government officials routinely retire from government into highly paid jobs with military contractors. Meanwhile, corporate executives take sabbaticals from their industry jobs to punch time cards in positions of authority at the Pentagon before returning to their old haunts.

Darleen Druyun is now  serving out a prison term in Marianna, Florida.
                                                         š
Of course, the story doesn't end here.. No mention is made of punishment to the Boeing Corporation. It would be helpful to know if the Boeing employees who corroborated with Druyun are also serving prison terms? Also, how is Boeing  Corporation being punished?
Has the government been able to recover its loss as well as any punitive damages? Anyone having this information, please respond.

Because of abuses, Washington is currently reviewing  the whole process of private and corporate donor contributions given to political parties and individual candidates. Washington has also begun to take up both the legality and ethical practices of lobbyists and the Lobbying  Industry.  I refer to recently publicized cases of two  former high level  people in government who are now lobbying and, briefly, their stories:

Lobbyist Ashcroft pulls in $269,000

Less than three months after registering as  a lobbyist, former Attorney General John Ashcro has banked at least $269,000 from just four clients and appears to be developing a practice based on companies that want to capitalize on a government demand for homeland security technology that boomed under sometimes controversial policies he promoted  while in office.

EPA Chief turns coal lobbyist

Former director of the Illinois Environmental Protection Agency, Renee Cipriano
pushed for tough limits on the mercury pollution that contaminates every river, stream and lake in the state. Six months after she left state government, Cipriano is still talking about mercury. Only now she is working for a power company that is trying to scuttle
mercury standards proposed last month by her former boss, Rod Blagojevich.

Can anyone explain, to me, what the difference is between "the conflict of interest case" that sent Darleen Druyun to prison, simply because it had occurred while she was still working for the Pentagon and the lobbying  activities of two former high ranking public
officials who, as insiders, had become well-acquainted with the personnel and had vast knowledge of the policies of the departments they had served in, and which would  therefore become extremely valuable to their clients and/or employers?

Thank you,

Poor Ben

Tags: Conflict of Interest, illegal, lobbying, lobbyist, Unlawful (all tags)

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