San Diego Navy contractor acknowledges $3 5m fraud
SAN DIEGO (AP) -- Federal prosecutors say a San Diego-based Navy contractor has acknowledged bilking the government out of some $3.5 million with phony cost claims.
The U.S. attorney's office says Vector Planning & Services reached an agreement Tuesday to settle criminal and civil cases. The company agreed to pay restitution and to maintain a compliance and ethics program.
Authorities say the company acknowledged that its late CEO and majority owner submitted phony reimbursement claims for five years that essentially double-billed the Defense Department for some expenses.
Authorities will dismiss the criminal case after three years if the company complies with terms of the agreement.