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Old 10th May 2004, 18:48
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Boeing ex-CEO knew plans to try hiring Druyun -WSJ
Reuters English News Service 05/10/04
(C) Reuters Limited 2004.

NEW YORK, May 10 (Reuters) - Boeing Co.'s (NYSE:BA - News) former chief executive was present when the aerospace giant first tried to hire an Air Force procurement official who oversaw Boeing contracts, according to an Air Force memo, the Wall Street Journal said on Monday.

The February memo describes job talks between Boeing and Darleen Druyun, saying "the possibility of Druyun's future employment with Boeing" was mentioned "in general terms," during an August 2002 lunch at Boeing's Chicago headquarters attended by then Chairman and Chief Executive Officer Phil Condit, Druyun and former Boeing Chief Financial Officer Michael Sears, the Journal said.

The memo was made public last week, the Journal said.

Druyun last month pleaded guilty to one conspiracy count for violating a conflict-of-interest law by negotiating a job at Boeing what still at the Air Force overseeing a $20 billion-plus refueling-tanker deal and other Boeing-related contracts.

Druyun agreed to cooperate with federal prosecutors investigating Sears and possible others.

Boeing representative John Dern on Monday told Reuters the August 2002 meeting occurred when Druyun was at Boeing in the normal course of business. "There was no discussion of employment at that lunch," Dern said.

The Air Force does not view the meeting as illegal because it was "brief and informal," the Journal said.

Druyun and Sears were fired from Boeing in November 2003 for concealing their illegal job talks. Condit resigned as chairman and CEO a week after the two were fired.

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