Report Finds $50M Air Force Contract Improperly Awarded

Washington, D.C. (AHN) - A Defense Department Inspector General report has found that selection for a multi-million dollar Air Force contract was steered by a remark from a high ranking officer.

Air Force Maj. Gen. Stephen M. Goldfein was the highest-ranking officer in the room when a seven-person group met to pick a contractor to provide massive Jumbotron video boards for the Air Force's Thunderbirds air show.

The Inspector General's report found Goldfein made a remark that lead the panel to award the contract to the Strategic Message Solutions company. "I don't pick the winner, but if I did, I'd pick SMS," Goldfein said, thus leading the panel to award the contract to SMS, the report concluded, according to the Washington Post.

One member of the team told investigators that he thought the process was "fixed" when the head of the selection team immediately caved in, the Post reported.

Investigators said another team member termed the selection process "the dirtiest thing" he had experienced.

The report concluded that not only was the $50 million contract not awarded through fair and open competition in 2005, but that the bidder had ties to a retired general, the AP said.

However, the report, which hasn't been released yet, reportedly does not recommend criminal prosecution.