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Tuesday, October 28, 2008

U.S. report faulting BAE oversight retracted

The Pentagon inspector general's office has retracted a report concluding that U.S. technology in the F-35 fighter aircraft may have been compromised by unauthorized access at units of BAE Systems Plc, a top subcontractor.

In a rare climbdown, the internal watchdog said in an Oct. 23-dated memorandum that it lacked "sufficient appropriate evidence" to support the conclusion of a March 6 report in which it had raised alarm about the security oversight of BAE facilities and computers.

BAE, headquartered in Farnborough, England, is the biggest overseas partner on the radar-evading F-35 -- the Pentagon's costliest arms acquisition plan, valued at nearly $300 billion over coming decades.

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