When Dr. Stafford Sheehan helped co-found Air Company in 2017, his mission was clear: use breakthrough science to convert atmospheric carbon dioxide into clean fuels that could support U.S. energy independence, reduce emissions, and protect the planet. What followed was a meteoric rise – scientific accolades, recognition from the U.S. Department of Defense (DoD), and a $65 million federal contract. But behind the scenes, something darker was brewing.

In March, a whistleblower complaint filed by Dr. Sheehan was unsealed in federal court, painting a picture of a company that allegedly ignored national security safeguards, misused taxpayer money, and retaliated against its co-founder for speaking up.

According to the complaint, Dr. Sheehan discovered that Air Company Holdings (ACH) was billing unallowable marketing expenses to its DoD contracts. He reported this internally in April 2024. Just months later, he uncovered export control violations where controlled and confidential technical information critical to national security was shared with foreign adversaries, a clear violation of federal regulations.

When Dr. Sheehan brought these issues to the company’s board and outside counsel, the lawsuit says his warnings were ignored. Left with no alternative, the lawsuit claims he alerted the Department of Defense. Days later, the DoD’s Office of Special Investigations escalated the case to Homeland Security’s Export Enforcement Division.

Instead of being rewarded for upholding...

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