Saturday, January 17, 2015

Malaysia Contractor Admits to Bribing U.S. Navy Officials for a Decade

1/17/2015

WASHINGTON – A Malaysian defense contractor has pleaded guilty to bribing U.S. Navy officials with luxury gifts for a decade as part of a massive corruption scheme, local media reported.

Leonard Glenn Francis, known as “Fat Leonard” for his portly physique, admitted Thursday in federal court in San Diego to bribery and conspiracy to defraud the U.S. government.

In a plea deal, the 50-year-old businessman agreed to forfeit $35 million in payments received and cooperate with prosecutors to discover all of the Navy officers involved in the scheme, although he still faces a prison sentence of up to 25 years.

Four current and former Navy officials, including Capt. Daniel Dusek, have admitted to accepting gifts from Francis in exchange for helping his company, Singapore-based Glenn Defense Marine Asia, overcharge that armed forces branch for fuel, food and other supplies as well as a range of port services.

Francis told the court he bribed the Navy officials with luxury trips, prostitute services, cash totaling as much as $500,000, Cuban cigars, and Spanish suckling pigs.

The defense contractor has provided prosecutors with the names of at least seven Navy officers who accepted the gifts, according to court documents.

Francis was arrested in September 2013 for overcharging the U.S. Navy by millions of dollars on hundreds of port contracts.

Although he initially denied the charges, he admitted to the scheme on Thursday and now is willing to cooperate with prosecutors.


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