<p>US Department of Justice announced that the former Director of Metallurgy at Bradken Inc Ms Elaine Thomas is sentenced in US District Court in Tacoma to 30 months in prison, and a USD 50,000 fine, for falsifying test results that measure the strength and toughness of steel that Bradken sold for installation in US Navy submarines. US Attorney Mr Nick Brown said “For 32 years, Elaine Thomas betrayed the trust of the United States Navy, knowingly placing its sailors and military operations at risk. She falsely stated that steel Bradken produced met critical specifications– standards developed to keep our military personnel safe– and allowed inferior steel to go to Navy subs in half the orders she reviewed.”</p><p>Ms Elaine Thomas, 67, of Auburn in Washington pleaded guilty on 8 November 2021, to major fraud against the United States. Ms Elaine Thomas, as Director of Metallurgy, falsified test results to hide the fact that the steel had failed the tests. Thomas falsified results for over 240 productions of steel, which represents about half the castings Bradken produced for the Navy. </p><p>According to records filed in the case, Bradken is the US Navy’s leading supplier of high-yield steel castings for naval submarines. Bradken’s Tacoma foundry produces castings that prime contractors use to fabricate submarine hulls. The Navy requires that the steel meets certain standards for strength and toughness to ensure that it does not fail under certain circumstances, such as a collision. For 30 years, the Tacoma foundry, which was previously known as Atlas, and acquired by Bradken in 2008, produced castings, many of which had failed lab tests and did not meet the Navy’s standards.</p><p>Court filings indicate there is no evidence that Bradken’s management was aware of the fraud until May 2017 when a lab employee discovered that test cards had been altered and that other discrepancies existed in Bradken’s records. In April 2020, Bradken entered into a deferred prosecution agreement, accepting responsibility for the offense and agreeing to take remedial measures. Bradken also entered into a civil settlement, paying USD 10.896 million to resolve allegations that the foundry produced and sold substandard steel components for installation on US Navy submarines.</p><p>The Navy has taken extensive steps to ensure the safe operation of 30 affected submarines. Those measures will result in increased costs and maintenance as some of the substandard parts is monitored. To date, the Navy says it has spent nearly USD 14 million including 50,000 hours of engineering work to assess the parts and risk to the submarines.</p>
<p>US Department of Justice announced that the former Director of Metallurgy at Bradken Inc Ms Elaine Thomas is sentenced in US District Court in Tacoma to 30 months in prison, and a USD 50,000 fine, for falsifying test results that measure the strength and toughness of steel that Bradken sold for installation in US Navy submarines. US Attorney Mr Nick Brown said “For 32 years, Elaine Thomas betrayed the trust of the United States Navy, knowingly placing its sailors and military operations at risk. She falsely stated that steel Bradken produced met critical specifications– standards developed to keep our military personnel safe– and allowed inferior steel to go to Navy subs in half the orders she reviewed.”</p><p>Ms Elaine Thomas, 67, of Auburn in Washington pleaded guilty on 8 November 2021, to major fraud against the United States. Ms Elaine Thomas, as Director of Metallurgy, falsified test results to hide the fact that the steel had failed the tests. Thomas falsified results for over 240 productions of steel, which represents about half the castings Bradken produced for the Navy. </p><p>According to records filed in the case, Bradken is the US Navy’s leading supplier of high-yield steel castings for naval submarines. Bradken’s Tacoma foundry produces castings that prime contractors use to fabricate submarine hulls. The Navy requires that the steel meets certain standards for strength and toughness to ensure that it does not fail under certain circumstances, such as a collision. For 30 years, the Tacoma foundry, which was previously known as Atlas, and acquired by Bradken in 2008, produced castings, many of which had failed lab tests and did not meet the Navy’s standards.</p><p>Court filings indicate there is no evidence that Bradken’s management was aware of the fraud until May 2017 when a lab employee discovered that test cards had been altered and that other discrepancies existed in Bradken’s records. In April 2020, Bradken entered into a deferred prosecution agreement, accepting responsibility for the offense and agreeing to take remedial measures. Bradken also entered into a civil settlement, paying USD 10.896 million to resolve allegations that the foundry produced and sold substandard steel components for installation on US Navy submarines.</p><p>The Navy has taken extensive steps to ensure the safe operation of 30 affected submarines. Those measures will result in increased costs and maintenance as some of the substandard parts is monitored. To date, the Navy says it has spent nearly USD 14 million including 50,000 hours of engineering work to assess the parts and risk to the submarines.</p>
