John Phillip Holland
The following information about General Dynamics is mainly supplied by the Campaign Against Arms Trade (CAAT) and by Global Justice Now.|
According to the latest ranking by SIPRI, General Dynamics is the sixth-largest arms company in the world.
General Dynamics started out as the Holland Torpedo Boat Company, founded by John Phillip Holland, an Irish immigrant to the United States. His company built the US Navy's first submarine (1897).
Owing to the delay in payments between ordering and delivering submarines, Holland ran short of capital and had to sell his company to a financier Isaac Leopold Rice, who renamed it the Electric Boat Company in 1899. |
Holland was demoted to chief engineer earning $90 a week, while his submarines were sold for $300,000 each. He left the company in 1904.
During the Russo-Japanese War (1904-5), faithful to the traditions of the arms trade, the Electric Boat Company made a large profit by selling submarines to both the Imperial Japanese Navy and the Imperial Russian Navy!
General Dynamics manufactures the Abrams Tank. They claim "the Abrams remains the top tank choice today for the U.S. Army, U.S. National Guard and the U.S. Marine Corps. It is also popular with several international armies, including Egypt, Kuwait, Saudi Arabia, Australia and Iraq". On 9 August 2016, the US Department of Defense revealed that 153 more of these "popular" tanks were to be sold to Saudi Arabia. General Dynamics also delivers the AJAX family of armoured fighting vehicles to the British Army.|
Its "IS&T division" has "an established global presence in secure communications systems, command and control systems, imagery sensors and cyber products." .
|General Dynamics' "Marine Systems" division manufactures some of the US Navy's most formidable surface warships and submarines. It built the Ohio-class submarines which carry the US Navy strategic nuclear strike force missiles,including Trident, and is developing the 12 Ohio Replacement submarines which "will provide strategic deterrent capabilities well into the 2080s."|
Most of the following information has been provided by the War Resisters' International:|
In the 1970s the Electric Boat operation (part of General Dynamics) was severely criticized by US Admiral Hyman Rickover for the poor quality of its work and the magnitude of its cost overruns. General Dynamics was also criticized for its work on the M-1 tank and Tomahawk cruise missile. A $57 billion deal to build the A-12 Navy attack plane along with McDonnell Douglas was scrapped by the Pentagon in 1991 over delays and cost overruns said to be caused by the companies.
Tensions between General Dynamics and the US Navy reached a point in 1985 at which the company was twice suspended for a period of time from accepting new contracts. The first suspension was a response to overbilling disputes, while the second came after the company and four former or current executives were indicted on fraud charges relating to a contract with the US Army to produce the Sergeant York anti-aircraft gun.
Among the revelations were that the company was billing the Pentagon for dog-kennel fees incurred by one executive and country-club dues paid by another (the case was later dismissed).
A 1986 article in Fortune magazine noted that General Dynamics was “to many American newspaper readers the symbol of waste and corruption in military spending.”
In 1990 the U.S. Justice Department sued General Dynamics, charging that the company defrauded the Army on contracts for M-1 tanks. The company paid $8 million to settle the case.
In the mid-1990s numerous press reports suggested that General Dynamics had bribed South Korean President Roh Tae Woo to bring about a deal in which his country agreed to spend $5 billion on the company’s F-16 fighter jets.
Click here for a list of financial and other offences committed by General Dynamics and subsidiary companies
Theresa May's family is said to have financial links to General Dynamics.
In January 2008 Electric Boat (part of General Dynamics) signed a consent order with the state of Connecticut and paid $75,000 to settle violations relating to the discharge of pollutants into river water. The action came after the Connecticut Fund for the Environment, responding to a report in the Hartford Courant about lax enforcement of water pollution regulations by Connecticut officials, said it would sue various companies for violations.|
Earlier environment controversies involving General Dynamics include a $13,600 fine imposed by the U.S. Environmental Protection Agency in 1998 for the improper disposal of PCB-contaminated clothing; a penalty of $105,000 paid in 1992 to settle hazardous waste violations at a company facility in Arizona; and a $50,000 fine paid to California in connection with a spill of hazardous waste at a company plant in San Diego.
General Dynamics has been criticised for involvement in the administration of President Trump's policy of
separating immigrant children from their parents who had been arrested for crossing the US border illegally.|
Public opposition has forced the Trump administration to abandon that policy, but many of the families will never be reunited because the parents have already been deported. In addition the administration has proposed to extend the length of time in which children can be separated from their parents.
General Dynamics has defended its role in the face of public opposition and demonstrations. The company has been accused of buying the support of local politicians, and of misapplying tax credits it received for training purposes. Students and staff at the University of California have urged the University administration to sever their contracts with General Dynamics. US teachers have called for their pension funds to be withdrawn from General Dynamics. Scottish Trade unions Unison and Unite have called for Scottish Pension Funds to be withdrawn from General Dynamics.
For further information about the involvement of General Dynamics in Immigrant Detention, see the website of Global Justice Bexhill and Hastings.