US Indictment for Fraud, Bribery in Afghanistan

Posted August 22nd, 2012 at 5:50 pm (UTC-5)
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The U.S. Department of Justice has indicted three people and a corporation on charges of fraud and bribery, accusing them of conspiring to use protected contract information to get an unfair advantage over other companies seeking government contract work in Afghanistan.

The department Wednesday said one of the men was an active military reservist who used his position in the U.S. Army to get information about a contract related to logistics and weapons maintenance support for Afghan military units. The indictment says he suggested a Massachusetts company, AISC, as one of a limited number of bidders.

The Justice Department says that company won the six-month contract and several extensions after submitting a bid that closely matched the military's price estimate. It says AISC received about $54 million from the contract, and the alleged co-conspirators distributed more than $20 million among themselves.

Wednesday's indictment contains a notice of intent to seek forfeiture of real and personal property including more than $6 million in funds; 20 houses in the states of Utah, Florida, Arizona, and New Hampshire; motor vehicles, a boat and an airplane, and hundreds of gold coins.

One of the men has been arrested in the state of Utah. AISC and the other two men are expected to be summoned to a U.S. District Court in Salt Lake City.