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Former DoD contractor pleads guilty to taking bribes from UK company

Image courtesy of the U.S. Department of DefenseThe former director of operations of a Department of Defense contractor in Washington, D.C. pleaded guilty to soliciting and receiving nearly $200,000 in kickbacks in return for steering U.S. government subcontracts to a U.K. company.

Robert W. Gannon, 54, now lives in Bangkok, Thailand, He pleaded guilty to a one-count criminal information charging him with conspiracy to solicit and accept kickbacks. 

Gannon will be sentenced in federal court in Virginia on January 28.

He evaluated and helped administer subcontracts for the DoD. He admitted using his position to arrange kickbacks from a U.K.-based company. In return, Gannon awarded the company a series of purchase orders in August 2009 worth a total of nearly $6 million. 

The purchase orders were for explosive ordinance disposal equipment to U.S. and NATO forces in Afghanistan.

Gannon admitted that the U.K. company wired about $200,000 to his account in Singapore from bank accounts in the United Kingdom, the DOJ said.

The DOJ hasn’t publicly named the British company.

The Independent said Dorset-based Mondial Defence Systems is under investigation in the UK.

It manufactures and supplies bomb disposal suits and mine detectors and “has completed substantial logistic support for the UK and US governments in overseas deployments,” according to its website.

“Two of its directors, Robert Gillam and Simon Davies, were arrested in the UK in December 2014, under the UK Bribery Act, according to a report by the Special Inspector General for Afghanistan Reconstruction (Sigar) to the U.S. Congress and U.S. Secretaries of State and Defense earlier this year,” the Independent said.

The UK Serious Fraud Office website doesn’t show any information about Mondial or Gilliam and Davies.


Richard L. Cassin is the publisher and editor of the FCPA Blog. He can be contacted here.

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