I don't think Stitch lied. According to all the information he had, there was no problem. It's just that the folks in Houston live in their own little world, and really don't get out very often.
There was plenty of concern at KSC, but as far as Houston is concerned, the people at KSC are just a bunch of inbred redneck crackers.
It was Greg Katnick, KSC engineer, who raised the problem with the foam several years ago. He was ignored.
It was someone at KSC, not Houston, who thought it was important enough to buck the chain of command to request on-orbit photos from the DoD. Someone in NASA - probably Houston - who quashed that request.
I can see them withholding comment on the foam strike to the crew, early on. No dishonesty would be attributed.
I can see them telling the crew and saying they weren't sure about the significance yet, but we're checking. No dishonesty would be attributed.
I can see them telling the crew and saying, it doesn't look like any negative impact from here yet, but we're looking. No dishonesty woule be attributed.
I can't see telling them there was no concern at all.
Thanks for your comments regarding the different environments at NASA.