Frazier Aviation Former Chief Executive Agrees to Pay $4.9 Million to Resolve Aircraft Parts False Claims Act Allegations

On September 29, 2026, the U.S. Attorney’s Office for the Eastern District of Virginia announced that Frazier Aviation Inc. and its former chief executive agreed to resolve False Claims Act (FCA) allegations involving aircraft parts sold to the federal government. The former chief executive will pay $4.9 million to the United States.

The government alleged that Frazier Aviation improperly marketed and sold aircraft parts using Lockheed Martin’s Commercial and Government Entity (CAGE) code without authorization. A CAGE code is used to identify entities doing business with the federal government and can be material to sourcing and traceability controls.

The matter arose from a whilstbelower lawsuit filed by Heather Elliott in the Eastern District of Virginia. The United States declined to intervene but continued its investigation, while the relator proceeded with the litigation. The United States later consented to the settlement.

Compliance Takeaways

Government contractors should verify that CAGE codes, source identifiers, and authorization representations remain accurate throughout marketing, quoting, manufacturing, and delivery. Controls should prevent personnel from using a prime contractor’s or customer’s identifier without documented authority and should preserve traceability to the actual manufacturing source.

Supplier-approval and quality systems should also prevent unapproved subcontracting and detect departures from contract specifications before parts are offered or invoiced. Contractors should align purchasing, engineering, quality assurance, and billing records so that certifications and claims reflect the actual source and condition of delivered products.

GWB represents government contractors in connection with government investigations and False Claims Act litigation. If you need assistance with such a matter, contact us today.