Pentagon Battles Contractor Conflicts of Interest

A new Pentagon rule instructs contracting officers on preventing conflicts of interest. The rule applies to key defense programs and instructs that companies that manufacture a weapons system, for instance, cannot also supply the testing of the system.

The Washington Post has reported that a new Pentagon rule instructs contracting officers on preventing conflicts of interest. The rule applies to key defense programs and instructs that companies that manufacture a weapons system, for instance, cannot also supply the testing of the system.

The rule takes aim at organizational conflicts of interests--instances in which a single company provides multiple services that could have conflicting interests-- and instructs those doling out big ticket defense contracts to promote competition.

The new regulation comes as a result of Congress pushing for stricter bylaws, although according to The Post, many companies, including Lockheed Martin, Northrop Grumman and CSC, have already divested business units that they said posed potential conflicts of interest. 

Read the full Washington Post article here.