National Air Cargo of Orchard Park is in a fight for its corporate life.
After pleading guilty to a corporate felony for overbilling the government and paying $28 million in penalties, including $3.3 million to a whistleblower who first complained, NAC is appealing its possible debarment from doing work for the military.
With $400 million in military contracts in recent years for shipping goods to Iraq and Afghanistan, the military is National Air Cargo's biggest customer.
To satisfy demands from Steven A. Shaw, the Air Force deputy counsel for suspensions and debarments, company founder Christopher J. Alf has fired his top executives, including his wife, Lori.
Sources say Shaw is also demanding that Alf step down from the company, and some form of outside board is under consideration.
And Shaw says it wasn't just a single overbilling, as NAC admitted, but more than 2,000 times that the company delivered late but charged for on-time delivery.
What do you think? Is National Air Cargo being singled out? Should it be prevented from further government work? Isn't the $28 million in penalties enough?
… Michael Beebe