Former defense industry contractor pleads guilty to conspiracy in bilking US Navy out of more than $20 million

SAN DIEGO – A former executive for a defense contractor pleaded guilty in federal court in San Diego today (March 18) to a conspiracy charge, admitting he and others duped the U.S. Navy into overpaying by at least $20 million for supplies and services to American ships in Asian ports.

Alex Wisidagama faces up to 10 years in prison when he is sentenced June 13 by U.S. District Judge Janis Sammartino.

Wisidagama’s plea is the second in an extensive international fraud and bribery scandal that has ensnared employees of Glenn Defense Marine Asia and several U.S. Navy officials.

Prosecutors allege that Wisidagama’s cousin and owner of GDMA, Leonard Glenn Francis, bribed Navy officials with luxury travel and prostitutes in exchange for confidential information and other help in winning and retaining hundreds of millions of dollars in Navy contracts.

In his plea agreement, Wisidagama, who lives in Singapore, admitted he and others used numerous methods to trick the Navy into overpaying for things like fuel and port fees.

Wisidagama, 40, and others submitted fraudulent or inflated invoices to the Navy, offered up phony competitive bids from non-existent companies so GDMA could win every time and created fictitious port authorities with significantly inflated port tariff rates, according to the plea agreement.

In December, former NCIS Supervisory Special Agent John Beliveau Jr. pleaded guilty to conspiracy to commit bribery and bribery charges, after admitting he provided Francis with sensitive law enforcement information in exchange for cash, luxury travel accommodations, dinners and prostitutes.

In addition to Beliveau and Wisidagama, Francis and U.S. Navy Cmdrs. Michael Vannak Khem Misiewicz and Jose Luis Sanchez have been charged as part of the bribery scheme.

6 Responses to "Former defense industry contractor pleads guilty to conspiracy in bilking US Navy out of more than $20 million"

  1. flbkboy   March 19, 2014 at 10:11 am

    I hope the Navy officals that were bought with "luxury travel and prostitutes" are also being prosecuted to the full extent of the law for "treason".

  2. Lee   March 19, 2014 at 4:11 pm

    Here you go, folks. THIS is where our tax dollars go.

    Welcome to our . . . "good" military-industrial complex!

  3. Reality Checker   March 19, 2014 at 6:25 pm

    Treason doesn’t apply. Dereliction of duty, conspiracy, and conduct unbecoming would.

  4. flbkboy   March 20, 2014 at 8:07 am

    sounds like treason to give away confidendial information in exchange for personal gain Reality Checker. But of course what ever you say must be right mr. lawyer or do you have experience with these charges

  5. grunt   March 20, 2014 at 11:19 am

    Flbboy- treason is hard to charge as the constitution requires it be during time of war; Does not say if the aid has to be given to a party of the conflict, thought. Also, each treasonous act must either be admitted to on open court or witmessed by at least two people. However, passing of classified documents is chargeable under various espionage laws. Now, having said that, I hope they get the max in prison, lose all assets and have a huge, ugly and repressed cell mate.

  6. ZZZ   March 20, 2014 at 8:48 pm

    Throw the book at these people, including tax evasion. What a ‘sick’ contractor.


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