by Deb Cupples | More cheery news from the Justice Department:
"A former Army and Air Force Exchange Service (AAFES) official pleaded guilty today in U.S. District Court in Columbus, Ga., for his role in a conspiracy to commit bribery involving a multimillion dollar telecommunications contract, and for not reporting the bribes he accepted on his income tax returns....
"According to court documents, Henry Lee Holloway, 42, of Hamilton, Ga., worked as an AAFES general store manager at the Central Exchange in the Republic of Korea from 2003 through 2007. The Department of Defense provides billions of dollars worth of merchandise and services annually through AAFES to military personnel by operating base and post exchanges worldwide.
"From May 2003 to April 2005, Holloway admitted to conspiring with, among others, Gi-Hwan Jeong, the chief executive officer of Samsung Rental Company Ltd (SSRT), to use Holloway’s official position to maintain SSRT’s $206 million contract with AAFES to provide telecommunications services to U.S. Armed Forces installations in the Republic of Korea. In exchange for at least $70,000 worth of stock offerings, entertainment, travel expenses, cash and other things of value from Jeong, Holloway admitted he took official action to protect SSRT and further its interests, despite Holloway’s knowledge and belief that SSRT was underperforming and violating the terms of its contract with AAFES.
"According to court documents, prior to Jeong’s payments to Holloway, and as a result of SSRT’s failures to perform under the contractual relationship with AAFES, Holloway attempted to terminate the contractual relationship between AAFES and SSRT. After the payments from Jeong to Holloway began, and as the result of those payments, Holloway admitted he used official acts and influence to support and expand that contractual relationship, including contract amendments and obligation changes."
Other Buck Naked Politics Posts:
* Contractor KBR Settles Bribery Case for $579 Million
* Contractor Northrop to Settle Fraud Suit for $325 Million
* Senate Passes Stimulus Bill: What About Contractor Waste & Fraud?
* Inspector Blocked Investigations of Contractor Fraud and Waste?
* Defense Dept. Rewarding Bad Contractor Performance?
* Contractors: Driving up War's Costs?
* Contractors: Driving up Healthcare Costs
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