Pentagon Paid Nearly $1,000,000 To Ship Two 19-Cent Washers2007-08-17 06:05:00
The good news is...it was caught and the distributors face jail time. A summary of what happened, the washers were priority and priority orders don't have oversight so they are paid automatically. After the Pentagon later reviewed the orders, they haul distributors into court. They were charged and convicted of wire fraud and money laundering. I think treason should've been added. A small South Carolina parts supplier collected about $20.5 million over six years from the Pentagon for fraudulent shipping costs, including $998,798 for sending two 19-cent washers to an Army base in Texas, U.S. officials said. The company also billed and was paid $455,009 to ship three machine screws costing $1.31 each to Marines in Habbaniyah, Iraq, and $293,451 to ship an 89-cent split washer to Patrick Air Force Base in Cape Canaveral, Florida, Pentagon records show. The owners of C&D Distributors in Lexington, South Carolina -- twin sisters -- exploited a flaw in an automate