Supreme Court Overturns A-12 Ruling Against Contractors

The U.S. Supreme Court vacated a federal appeals court ruling that defense contractors General Dynamics and Boeing owed the Pentagon billions of dollars stemming from the cancellation of a Navy stealth aircraft program.

An artist's impression of the McDonnell Douglas/General Dynamics A-12 Avenger II. (U.S. Navy)

The ruling is the latest chapter in a more-than-two-decade saga involving the cancellation of the program and the disclosure of state secrets.

The Navy awarded General Dynamics and McDonnell Douglas - now Boeing - a $4.8 billion fixed-price contract to develop the A-12 Avenger, a carrier-based stealth aircraft. After falling years behind schedule and exceeding costs, the government terminated the contract for default in January 1991.
The companies challenged the termination, claiming the government did not share its extensive stealth knowledge, which was used to previously build the Air Force F-117 Nighthawk fighter and B-2 Spirit bomber.
Subsequently, a federal claims court ruled General Dynamics and McDonnell Douglas did not default on the contract, and ordered the Pentagon to pay them $1.2 billion in expenses. However, a federal appeals court overturned the decision and ordered a new trial. DoD prevailed in that trial, which "reaffirmed that petitioners' superior-knowledge affirmative defense could not be litigated," due to state secrets.
The Pentagon wants a return of the $1.35 billion it paid petitioners for work never accepted, plus interest.
But the Supreme Court on March 23 vacated the appeals court ruling and sent the case back to the federal circuit.
"Whether the Government had an obligation to share its superior knowledge about stealth technology is left for the Federal Circuit to address on remand," Supreme Court Justice Antonin Scalia wrote in the court's opinion, which ruled unanimously.
A Boeing spokesman in Chicago said the company was reviewing the ruling. DoD and General Dynamics officials were not immediately available for comment.

Pakistani Naval Aviation Base Attacked, 2 Dead

KARACHI, Pakistan - Two Pakistan Navy staff were killed in a militant attack on a naval air base in the country's biggest city of Karachi, where troops were locked in battle with gunmen, a spokesman said May 23.
"One of our officers and one Navy personnel have been martyred," said Commodore Irfan ul Haq, a spokesman for the Pakistan Navy.

"The operation is continuing. They have completely destroyed one of Pakistan's aircraft," he added

Taiwan Still Pushing for Subs, F-16s From U.S.

TAIPEI - Taiwan on May 22 said it was still pursuing its bid to buy eight submarines and dozens of F-16 fighters from the United States despite warming relations with China.
The Taipei-based China Times reported that Taiwan had decided to accept a U.S. proposal of just four conventional submarines to help expedite the arms deal, which has been in limbo since 2001.

"The report is not true. The country's position to seek [eight] diesel-powered submarines and F-16C/Ds has never changed," Taiwan's defense ministry said in a statement.
"The deal is still in the U.S. government's screening process. The ministry will keep pushing for the deal so as to meet Taiwan's self-defense demands."
In April 2001, President George W. Bush approved the sale of eight conventional submarines to Taiwan as part of Washington's most comprehensive arms package to the island since 1992.
Since then, there has been little progress as the United States has not built conventional submarines for more than 40 years, and Germany and Spain had reportedly declined to offer their designs for fear of offending China.
Taiwan also applied to the U.S. government to buy 66 F-16 fighters in early 2007, but observers say Washington has held up the deal for fear of angering Beijing.
The Taiwanese defense ministry's statement came after a week-long visit to the United States by the People's Liberation Army Chief of General Staff Gen. Chen Bingde.
Chen said the main source of friction was over Taiwan and renewed his objection to any U.S. arms sales to the island, which China still regards as part of its territory awaiting reunification by force if necessary even though Taiwan has governed itself since 1949.
The United States in January 2010 approved a $6.4 billion arms package to Taiwan, prompting a furious Beijing to halt military exchanges and security talks with Washington.
Washington switched its diplomatic recognition from Taipei to Beijing in 1979, but has remained a leading arms supplier to Taiwan.

British Navy Completes Training Mission in Iraq

BAGHDAD - Britain on May 22 concluded its naval training mission in Iraq, more than eight years after it contributed the second largest contingent of troops to the U.S.-led invasion that ousted Saddam Hussein.
Despite having pulled out the vast majority of its troops in mid-2009, the Royal Navy has continued to train Iraqi personnel to defend their territorial waters and offshore oil installations.

"Their contribution was most appreciated and valuable," Foreign Minister Hoshyar Zebari said. "They have given many sacrifices to stabilize [Iraq] and they were the second-largest force of the coalition.
"Mistakes were made, not only by them, but by all of us," Zebari added, declining to give specific details. "But that doesn't diminish their valuable contribution to training, capacity building and, recently, for the protection of our oil ports at the tip of the Gulf."
Iraqi government spokesman Ali al-Dabbagh said in a text message that the British naval training mission had "finished" and, when asked to confirm that there were no more British soldiers or sailors left in Iraq, he replied: "Yes."
About 46,000 British troops were deployed to Iraq in March and April 2003, at the height of combat operations that resulted in Saddam's overthrow and eventual execution for crimes against humanity.
In the aftermath of the invasion, the country was engulfed in a brutal sectarian war which peaked in 2006 and 2007. Tens of thousands of Iraqis died.
Violence has since declined, but attacks remain common.
A total of 179 British personnel died in Iraq in the past eight years.
A small number of service personnel will remain at the British embassy in Baghdad.
"The actual U.K. maritime agreement comes to an end today but pretty much everyone was out [May 19 and 20]," a British defence ministry spokesman said.
"The actual guys came out a couple of days ago."
He added: "There's a few staff left in the diplomatic corps but the deployment of military personnel has finished."
London formally ended military operations in Iraq in April 2009, and pulled out its forces in July that year, but has since been involved in the bilateral naval training mission.
That same year, then-prime minister Gordon Brown opened an independent inquiry into Britain's role in the invasion and its aftermath. The inquiry is expected to issue a final report later this year.
The Royal Navy's role has involved training 1,800 Iraqi personnel on 50 different courses ranging from oil platform defense to handling small arms as part of efforts to secure Iraq's southern oil export terminals, through which the vast majority of its crude exports pass.
About 90 percent of Baghdad's government revenues come from oil sales.
British forces will continue to support NATO's officer training program, while some Iraqi soldiers will attend the army's officer training college at Sandhurst.
Most of Britain's troops were based in the predominantly Shiite southern port city of Basra.
Basra, Iraq's third-largest city and a strategic oil hub, had been under British command since the 2003 invasion, but the province and its airport returned to Iraqi control in 2009.
The withdrawal comes 52 years after Britain's previous exit from Iraq, in May 1959, when the last soldiers left Habbaniyah air station near the western town of Fallujah, ending a presence that dated back to 1918.
It also comes with just months to go before a year-end deadline for the 45,000 U.S. troops still stationed here to withdraw from Iraq under the terms of a bilateral security pact.

Pakistan Asks China to Build Naval Base in Nation

ISLAMABAD - Pakistan wants China to build a naval base at a deep-sea port in southwestern Baluchistan province, its defense minister said May 22, while also inferring that Washington was a fair-weather friend.

Ahmad Mukhtar, who accompanied Prime Minister Yousuf Raza Gilani during a recent visit to China, said the request was made during the trip, when Pakistan thanked Beijing for constructing Gwader Port, on the Arabian Sea.

"However, we would be more grateful to the Chinese government if a naval base was being constructed at the site of Gwader for Pakistan," Mukhtar said in a statement.
The deep-sea port was around 75 percent financed by China, which Pakistan has been trying to draw in as a strategic partner, especially since the discovery and U.S. killing on May 2 of Osama bin Laden north of Islamabad.
The commando raid rattled U.S.-Pakistan relations, with American politicians angered at how the al-Qaida leader had managed to conceal that he was living barely two hours from the Pakistani capital.
Gilani and his Chinese counterpart Wen Jiabao have both made a point of lauding mutual ties, just as Pakistan finds itself under pressure about whether its security services knew where bin Laden was.
"China is an all-weather friend and the closest ally of Pakistan, and it could be judged from the fact that in whichever sectors Pakistan requested assistance during PM's recent visit to China, they immediately agreed with Pakistan," the defense minister's statement said.
India, however, has voiced "serious concern" about defense ties between China and Pakistan and said it would need to bolster its own military capabilities in response.
New Delhi's comments follow reports that China plans to accelerate supply of 50 new JF-17 Thunder multi-role combat jets to Pakistan.
Pakistan also last week opened a nuclear power plant in central Punjab province with Chinese help and said Beijing had been contracted to construct two more reactors.

Russia Softens Stance on U.S. Missile Shield

MOSCOW - Russia on May 21 said it may be ready to drop its objections to the U.S.-backed missile defense shield for Europe if it receives a formal security pledge from the United States.
The comments by Foreign Minister Sergei Lavrov suggest an easing of Moscow's position and precede a meeting between U.S. President Barack Obama and his Russian counterpart on the sidelines of G8 summit in France next week.

Lavrov said during talks with the German and Polish foreign ministers that missile defense negotiations with the United States and NATO were "progressing but slowly."
"We are proposing, and asking for it to be put in writing, that the missile defense system for Europe is not directed against any of the participating states - not NATO, Russia or other European states," Lavrov said.
"We are told there is no need to get this down in writing because this is inherently the case," he told a televised news conference.
"But if it is inherently not aimed against Russia, why not write [that] down?" he asked.
Lavrov's nuanced language appears aimed at easing tensions between Washington and Moscow on the eve of the Group of Eight summit talks May 26 and 27.
Russia previously sought veto power in the system's operation - a subject not broached by Lavrov.
Russian President Dmitry Medvedev used a closely watch pre-election television appearance this week to warn the United States of a return to the Cold War should the shield be constructed despite Russia's objections.
And the chief of the military's general staff warned May 20 that the shield's deployment could lead to a "mad arms race."
Russia's tough talk and decision to test two heavy nuclear missiles in the past month underscore a fear in Moscow that the Obama administration is paying lip service to the "reset" in relations announced by Washington in 2009.
The United States argues that the shield is meant only to protect Europe from nations such as Iran but has said nothing about Russian security safeguards.
Analysts note that Moscow is primarily worried the system will leave a permanent stamp on the security map of Europe and formalize the reduced role Russia plays in the post-Cold War world.
The shield could theoretically be expanded to sizes that one day neutralize Russia's shrinking nuclear arsenal, or transformed into an offensive weapon that target its soil.
"This issue is so serious that we cannot ignore a single detail," Lavrov said.
But he stressed that Moscow saw itself joining the systems under the right conditions.
Russia envisioned "a joint concept and architecture of a future European missile defense system," Lavrov said.
"We hope that we will be able to resolve these issues - at least at the expert level."

Joint Strike Fighter Makes First Public Appearance

The U.S. Defense Department's embattled F-35 Lightning II Joint Strike Fighter (JSF) made its first public air-show appearance May 21 at Joint Base Andrews, Md., just outside of Washington.
An F-35C variant aircraft flew alongside an F/A-18 Hornet chase plane during a single pass before disappearing into the distance. Both the U.S. Navy and the Marine Corps will operate the C-model aircraft from the Navy's large deck carriers.

The jet was flying with Lt. Cmdr. Eric "Magic" Buus at the controls as part of a commemoration marking 100 years of naval aviation.
After the flyover pass, the F-35C and its Hornet chase plane continued with their planned test sortie, said Joe DellaVedova, a spokesman for the JSF program office who was in attendance alongside program manager Vice Adm. David Venlet.
Both planes were flown out of Naval Air Station Patuxent River, Md., which serves as the Navy's main flight test center.