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Contractor pleads guilty in bribery, bid-rigging case

Apr. 11, 2013 - 02:42PM   |  
By JIM MCELHATTON   |   Comments

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A northern Virginia technology contracting firm and its former president pleaded guilty Thursday in U.S. District Court in Washington to bribery charges in what prosecutors call the largest bid rigging scam in federal contracting history.

The company, Nova Datacom, admitted paying more than $15 million in bribes to three officials in the Army Corps of Engineers and the Army, according to prosecutors.

The investigation found more than $30 million bilked by corrupt contractors and officials through inflated and bogus invoices.

Nova Datacom’s former president, Min Jung Cho, 44, faces up to five years in prison and the company faces up to $79.2 million in fines.

No sentencing date has been set.

The ringleader of the scam, former Army Corps contracting official Kerry Khan, has pleaded guilty and is awaiting sentencing in July.

In a statement, U.S. Attorney for the District of Columbia Ron Machen said 15 individuals have pleaded guilty in the investigation.

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