Pratt & Whitney accused of using defective assembly process in whistle-blower suit

Jet engine manufacturer Pratt & Whitney has been accused by a former employee of using an ineffective assembly process for engines that go in U.S. fighter jets and manipulating test processes to pass inspection, according to a whistle-blower suit recently made public.

The legal complaint was filed October 2016 in U.S. District Court in Connecticut by a man named Peter Bonzani, a former engineer at the firm.

Bonzani alleges that the company used the wrong equipment to apply a sealant spray required to keep engine parts together and keep hot gas from leaking throughout the engine. According to Bonzani the “plume” of the spray gun being used to apply the sealant was too short, meaning it couldn’t reach the inner crevices of the engine.

A Pratt & Whitney spokesman denied the allegations but declined to answer specific questions: “There is absolutely no merit to these claims. Pratt & Whitney intends to defend this case aggressively.”

Bonzani worked on the F119 engine, the jet engine in F-22 Raptors, a fighter jet used by the U.S. Air Force, as well as F100 engines used in the F-16 and F-15 fighter jets.

If his allegations are correct, there is a worry that F-119 and F-100 jet engines used on the F-15, F-16 and F-22 fighter jets could deteriorate more quickly than had been expected. The F-16 fighter jet has been deployed not only by the U.S. Air Force but also by Belgium, Denmark, the Netherlands, Norway and Pakistan. read more »

Whistleblower accuses Tesla of spying on employees at Gigafactory: attorney

An employee fired from Tesla Inc’s (TSLA.O) Nevada battery factory filed a whistleblower complaint with the U.S. Securities and Exchange Commission, accusing the company of spying on employees and failing to act after learning that a Mexican cartel may be dealing drugs inside the plant, his attorney said on Thursday.

A former member of Tesla’s internal investigations team, Karl Hansen, filed a tips, complaints and referrals form to the SEC about the Gigafactory on Aug. 9, Hansen’s attorney Stuart Meissner said in a news release. Whistleblowers can receive 10 percent to 30 percent of penalties the SEC collects.

Tesla said it took the allegations that Hansen brought to the electric car maker seriously and investigated.

“Some of his claims are outright false. Others could not be corroborated,” Tesla said in the statement.

The SEC declined comment.

The complaint sent to the SEC comes amid intense focus on the company and Chief Executive Elon Musk, whose tweets about taking the company private last week set off a scramble to determine whether he violated securities law in stating that funding for the deal was “secured.” read more »

Tesla Tumbles After Tearful Musk Tells NYT Nobody Reviewed Tweet

CEO wrote post about buyout plans in his car on way to airport
Strained Musk tells of sleep medication use, personal toll

Tesla Inc. plunged Friday after Elon Musk told the New York Times that no one saw or reviewed his tweet about the plan to take the company private before he posted it. The billionaire frequently teared up in an interview and discussed the personal strain of leading the electric-car maker, the newspaper said.

Musk, Tesla’s chief executive officer and chairman, told the Times that he typed the take-private tweet as he drove himself to the airport on Aug. 7. The tweet said: “Am considering taking Tesla private at $420. Funding secured.”

The stock was nowhere near that price on Friday as it tumbled as much as 8.9 percent, the most since March in intraday trading, pushing the shares close to $300. The fourth straight day of declines has wiped out Tesla’s year-to-date gains. read more »

Malaysian financier wanted in 1MDB probe says he will not surrender

A Malaysian financier wanted for his role in the multi-billion-dollar scandal at state fund 1MDB has said he does not expect to get a fair hearing anywhere and will not present himself to any country where his guilt has been predetermined.

Low Taek Jho has been identified by investigators in Malaysia and the United States as a key figure in the 1Malaysia Development Berhad (1MDB) case.

Authorities in Malaysia and the United States are investigating how billions of dollars went missing from 1MDB. The U.S. Department of Justice says over $4.5 billion was misappropriated from the fund, with some of the money used to buy a private jet, a superyacht, Picasso paintings, jewelry and real estate. read more »