home
tour

Sunday, August 19, 2007

 

Pentagon Paid $999,798 to Ship Two 19-Cent Washers to Texas

‘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 a Texas base, 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 automated Defense Department purchasing system: bills for shipping to combat areas or U.S. bases that were labeled “priority” were usually paid automatically, said Cynthia Stroot, a Pentagon investigator.’




Leave a Reply

terms