US Government Sues L3 Communications for Fraud Involving EOTech Sights – L3 Settles for $25.6 Millio

[Strikerrr]

You might not know the brand, but you've probably seen the rectangular EOTech holographic sight in various games.
[t]http://www.bravocompanyusa.com/v/vspfiles/assets/images/m4 with eotech.jpg[/t][t]http://firearms4u.net/wp-content/uploads/eotech-512-a65-standard-reticle.jpg[/t][t]http://www.cracked.com/phpimages/article/2/7/5/25275.jpg?v=1[/t]
It was adopted by several special operations forces worldwide and was issued as the standard reflex sight for US SOCOM's SOPMOD kit until very recently. SOCOM issued a safety of use message when it was discovered that the reticule would shift at very high and very low temperatures and that the sight wasn't exactly "parallax free" as advertised.
[QUOTE]The PMO has noted a [B]+/- 4 MOA shift at -40 Deg F and 122 Deg F[/B]. Second, is the concern over the claim by EOTech that their HWS are parallax free which was the subject of a previous Safety of Use Message from the same office issued 16 March, 2015. In this case they noted between [B]4 and 6 MOA parallax error depending on temperature conditions[/B]. Despite the PMO working with EOTech to rectify the issues, they still have not been resolved.[/QUOTE]
[URL]http://soldiersystems.net/2015/09/30/ussocom-issues-safety-use-message-eotech-enhanced-combat-optical-sights-plus-goings/[/URL]
As a result, SOCOM has begun evaluating replacements for the EOTech and the US Government sued L3 Communications leading us to this:
[QUOTE]The Department of Justice has been investigating EOTech for some time and has finally filed suit (US v. L-3 Communications EOTech Inc., 15-cv-09262) in US District Court, Southern District of New York (Manhattan).
[B]Specifically, the Government’s allegations concentrate on the performance of the Holographic Weapon Sights at temperature extremes as well as in high moisture environments.[/B] [B]The Government also claims that EOTEch failed to disclose testing that demonstrated the inaccuracy issues in those environments. [/B]
In addition to naming L-3 and EOTech as defendants in the Government’s suit, they also named EOTech’s president, Paul Mangano which isn’t very common. They are seeking unspecified triple damages plus civil penalties of as much as $11,000 for each fraudulent claim.
L-3 has been aware of the pending action, having mentioned the issue in their [URL="http://soldiersystems.net/2015/09/30/ussocom-issues-safety-use-message-eotech-enhanced-combat-optical-sights-plus-goings/"]July 2015 SEC filing[/URL] as well as setting aside $26 million.
[B]Update- [/B]By mid afternoon, L-3 had settled with the government for $25.6 million which clearly indicates L-3 has known since summer how much the US Government would be willing to accept in relief. Their quick action helped turn a drop in stock value, yet they still closed the day down from opening prices.
What remains, is for L-3 to answer to domestic consumers, state and local governments as well as international customers.

[/QUOTE]
[URL]http://soldiersystems.net/2015/11/09/ussocom-evaulates-replacement-for-eotech-sights/[/URL]
[URL]http://soldiersystems.net/2015/11/24/us-government-sues-l3-communications-for-fraud-involving-eotech-sights/[/URL]

[Moose]

aimpoint wins

[Seiteki]

I work alongside L3 sometimes. Anything involving them is a crapshoot and they hate when you work around their stuff at all. Yes, not on, just around.

[wauterboi]

[QUOTE=Seiteki;49181853]I work alongside L3 sometimes. Anything involving them is a crapshoot and they hate when you work around their stuff at all. Yes, not on, just around.[/QUOTE]
What is your work? That sounds super interesting.