Pentagon IG releases report in Air Force bomber conflict-of-interest case

By Tony Bertuca / February 8, 2017 at 11:28 AM

The Defense Department inspector general has found no evidence that former Air Force acquisition official Richard Lombardi, who failed to disclose that his wife had a Northrop Grumman retirement account, participated in or approved any improper acquisition activities involving the company, including the contract award for the Long-Range Strike Bomber, now called the B-21.

"We reviewed the classified records for the LRSB acquisition and confirmed that Mr. Lombardi was granted access to the classified program after executing a Non-disclosure Agreement on June 12, 2015, well after the source selection process and the decision to award the LRSB contract to Northrop Grumman had concluded," the Feb. 8 IG report states. "Mr. Lombardi’s involvement with the LRSB program consisted only of him assisting senior DOD leadership during preparations to announce formally the contract award winner."

News of Lombardi's potential conflict-of-interest came as he was serving as principal deputy assistant secretary for acquisition and logistics and as interim acquisition executive after the departure of William LaPlante.

The IG did substantiate allegations that Lombardi failed to report his wife's retirement account to the Office of Government Ethics from 2009 through 2015, and that he failed to report in 2008 the source of his wife's income between the time of their marriage and her resignation from Northrop Grumman.

The IG did not substantiate allegations that Lombardi "knowingly and willfully failed to report his spouse's retirement account"; intentionally concealed her past role at Northrop Grumman; or "participated in matters involving Northrop Grumman, while knowing of his spouse's Northrop Grumman retirement account, that had a direct and predictable effect on his or his spouse’s financial interests."

184587