Claim · G-035
David Grusch: Claims that the programs are funded through misappropriation of funds and self-funding, including overbilling by contractors through internal research and development funds (IR&D), which to his knowledge carry no reporting obligations on UAPs.
David Grusch · Jul 26, 2023 · House hearing, Oversight Subcommittee on National Security, the Border, and Foreign Affairs (Hearing)
Under oath Hearsay Funding, secrecy, Congress
Unverifiable
He gave no amounts or documents, and on the amounts he said he does not know the precise figures.
- Original words
IR&D is literally internal to the contractors
- Against or denials
- The Defense procurement rules in force (DFARS 231.205-18) provide that large contractors, in order to have their independent research and development (IR&D) costs recognized on contracts with the Department, must report every project to the Defense Technical Information Center and update it at least once a year, and must report these costs separately from other indirect costs. The obligation is general, does not specifically concern UAPs and does not cover expenses that the contractor does not ask to have recognized. The text consulted is the one currently in force: the date from which the obligation applies has not been verified.
Sources
- Official transcript of the July 26, 2023 hearing in the House of Representatives (GovInfo, CHRG-118hhrg53022) (primary source)
- DFARS 231.205-18, “Independent research and development and bid and proposal costs” (current text on acquisition.gov) (primary source)
On this site
People 1
Claims 3
- David Grusch: Claims to have given the intelligence committees the names of companies and divisions involved, in about 11… Unverifiable
- David Grusch: Claims to have found, in the course of his investigation, “slush funds” amounting to billions of dollars a… Unverifiable
- David Grusch: Claims to have “substantive evidence” that white-collar crimes were used to hide the programs and that some… Unverifiable
Inconsistencies 1
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