Pentagon’s Shanahan has his noogies in a vice on lobbying for Boeing


Ethics complaint filed against Trump’s defense chief over alleged Boeing bias

… from Russia Today, Moscow

[ Editor’s Note: Trump has been a top lobbyist for Boeing himself, as he views being president like a kid in a candy store, how much can he grab in political favors to have a mountain of money to fund getting a second term.

It was not a fluke that Trump put Shanahan into the Pentagon sweet spot while the budget was being put together. Being in the right spot at the right time to make a few key deals is how you set yourself up for the rest of your life.

All Washington insiders know that, and so do all the judges and prosecutors. Of course Lockheed had run its own version of grand larceny on the American people with what will be the biggest cost overrun weapons program in history, the F-35.

And it will all be erased in a few seconds when Russia and China develop electronic warfare that just jams up all the electronics in these high end fighters and bombers and they just fall out of the sky, billions and billions of dollars worth of them, paid for with borrowed money that taxpayers will still owe. What’s not to love about that?

Weapons tech breakthroughs like this are waiting around the corner for those who have the technological base to do it. And Russia, who knows it cannot get into war of attrition with the West, knows that weapons technology leadership is key to its defense, and one it can afford... Jim W. Dean ]

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– First published … March 14, 2019

A US watchdog has filed a complaint against acting Pentagon chief Patrick Shanahan over his alleged lobbying of Boeing, his former employer. The company is still reeling from the recent Ethiopia crash, that sent its stock sliding.

The complaint was filed by the Citizens for Responsibility and Ethics in Washington (CREW), a non-profit US government ethics watchdog, on Wednesday, just as the US Federal Aviation Authority (FAA) joined the rest of the world in grounding all Boeing 737 MAX 8 and 9 models over safety concerns.

The group cited numerous media reports that Shanahan, who used to work in various subdivisions at Boeing for more than 30 years before he was handpicked by President Donald Trump to serve as Deputy Secretary of Defense, has been doing the airspace manufacturer’s bidding at internal meetings and in private.

After former Pentagon chief James Mattis stepped down in late 2018, Shanahan took over the Pentagon as Acting Defense Secretary. Before embarking on a career in the Trump administration, Shanahan signed an ethics agreement that precludes him from getting involved in any matters concerning Boeing.

In its complaint, CREW cited earlier reports by Politico and Bloomberg claiming Shanahan lobbied the inclusion of Boeing fourth-generation F-15X fighter aircraft in the newly-released Pentagon budget request. The budget proposal released Tuesday envisions Pentagon buying eight F-15X jets and up to 80 aircraft over the next five years.

The proposal, according to Bloomberg, was championed by Shanahan and eventually came through despite reportedly facing strong opposition from the Air Force which reportedly called the jet “ineffective against enemies like China and Russia.” The initial budget proposal did not include the funding for the jets, according to Air Force Secretary Heather Wilson, who subsequently resigned.

Reports have also suggested that while promoting the Boeing equipment, Shanahan unloaded heavily on its competitor, Lockheed Martin, and, in particular, on its fifth-generation stealth fighter F-35, beset with delays, groundings and cost overruns has racked up a price tag of $1,5 trillion.

Shanahan reportedly referred to the program as “f***ed up” suggesting that if the contract would go Boeing’s way it would have performed “much better”.

“Acting Secretary Shanahan’s conduct regarding Boeing and its competitors indicate that he may have violated his Ethics Pledge for the same reasons that they raise significant concerns of an appearance of a lack of impartiality,” CREW wrote in the complaint to the Department of Defense Acting Inspector General Glenn Fine, asking him to investigate a possible violation of ethics rules by Shahanan.

During his three decades at Boeing, Shanahan, among his many occupations, worked as senior vice president of Commercial Airplane Programs. Among his duties on that job was “managing profit and loss for the 737, 747, 767, 777 and 787 programs,” his Pentagon profile states.

Shanahan has denied allegations of bias towards his former employer in a statement on Wednesday, saying that he has continued to stick to his ethics agreement “at all times.”

A potential new scandal comes at a time when Boeing is struggling to contain a fallout from the recent crash in Ethiopia, which killed 157 people and triggered a wave of temporary bans of the troubled 737 MAX 8 jet by all major nations and airlines. The controversy fueled by safety concerns saw the company’s stock plummeting for the third day in a row after the US joined other nations in grounding the planes.


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  1. Quote:
    “Shanahan was born in Palo Alto, California on June 27, 1962[3][4] and grew up in Seattle, Washington, where he graduated from Bishop Blanchet High School in 1980.[5][6] He attended the University of Washington where he earned a Bachelor of Science (B.S.) degree in mechanical engineering. He then earned a Master of Science (M.S.) degree in mechanical engineering from Massachusetts Institute of Technology, and a Master of Business Administration (MBA) from the MIT Sloan School of Management.[7][8]”
    Frankly despite Jim’s good comments he appears to be quite well qualified. Almost anyone approved for this job will have many conflicts of interest. I would rather have a mechanical engineer than an accountant. But then Pompeo graduated in mechanical engineering too before he became a lying lawyer. At least this individual is not a lying lawyer so far as we know.

    • Boeing certainly is not going to put a dummy into such a slot. The issue for us was the standard corruption one, where at the top levels we usually see well qualified people. But we have seen less with Trump as he has made political appointments almost like the old Soviet Union, to ride herd on the technocrats.

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