L-3 to Pay $25.6 Million in Gun-Sight Fraud Settlement
- U.S. said company knew devices can fail in hot, cold weather
- Troops used product in Iraq and Afghanistan, government said
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L-3 Communications Corp. agreed to pay $25.6 million to settle claims that it knowingly supplied the U.S. military and law enforcement with thousands of defective holographic weapon sights that malfunction in hot, cold and humid conditions.
The company announced the settlement in a statement Tuesday, the same day the U.S. sued it for fraud in Manhattan federal court.