Posted on December 13th, 2018
Top Google Inc. executives saved millions of dollars by flying their exclusive jet fleet on affordable fuel bought from the federal government that they weren’t entitled to purchase, according to a brand-new inspector basic evaluation released Wednesday.
The record, by the inspector general of the National Aeronautics and Space Administration, said the Google executives just were licensed to buy the reduced fuel for government business, however rather for 6 years also were enabled to buy it for private flights.
Google creators received jet-fuel discount rate, and more NASA audit discovers that a personal company hired by Google’s founders got an unwarranted discount rate on jet fuel. The inspector basic blamed the scenario on an internal government “misunderstanding” as opposed to intentional misbehavior.
The report stated the arrangement didn’t result in a loss to the government but said a company running the jets for the Google executives “nonetheless got a financial advantage to which it was not entitled,” and the plan “stimulated a sense of unfairness and a perception of favoritism.”.
The report claims that the unwarranted fuel discount is between $3.3 million and $5.3 million. The inspector general, Paul K. Martin, called on NASA to discuss “possible options to remedy the situation” with H211 Inc., which operates aircraft for Google co-founders Sergey Brin and Larry Page, and for Google Chairman Eric Schmidt. Ken Ambrose, an executive with H211, said “we are currently reviewing the report.”
Senator Charles Grassley (R-Iowa), who has examined the situation, called the deal a “corporate giveaway” and said the “obvious remedy would be for NASA to seek repayment for the taxpayers for the fuel benefit.”
The unusual fuel arrangement was the focus of a Sept. 13 article in The Wall Street Journal.
An expanded version of this report appears at WSJ.com.