Boeing tanker deal faces Justice Department review

WASHINGTON – The Justice Department has been asked to review documents related to a proposed Boeing Co. tanker deal, including communications from Air Force Secretary James Roche, to address questions of potential conflict of interest, according to a source familiar with the case.

The Justice Department review also includes an official with the Office of Management and Budget, another source said.

Roche, a 23-year Navy veteran and former Northrop Grumman Corp. executive, was a proponent of the lease-buy proposal, which the Air Force argues is necessary to address its aging fleet of refueling tankers, many of which are 40 years old. But critics have called the proposal an expensive and unnecessary attempt to boost the fortunes of Chicago-based Boeing. A decision on the deal is not expected until after the November election, when several studies of the proposal are expected to be completed.

The investigation, which was first reported by Reuters, stems from documents related to the tanker negotiations that the OMB recently turned over to the Senate Armed Services Committee. Committee member John McCain, R-Ariz., a chief opponent of the tanker lease, had requested the documents, including e-mails and internal documents, for more than a year, arguing they could shed light on whether the Air Force acted properly in the negotiations. McCain could not be reached for comment Thursday.

While complying with the request, OMB officials discovered correspondence that could raise concerns about a possible conflict of interest, said spokesman Chad Kolton. The agency’s ethics counsel and the Office of Government Ethics informally reviewed the documents and found they did not “indicate a violation of the relevant conflict-of-interest statutes,” Kolton said.