Georgia Tech Procurement Assistance Center

  • Home
  • About Us
  • Training
    • Class Registration
    • On-demand Training
    • GTPAC COVID-19 Resource Page
    • Cybersecurity Video
    • Veterans Verification Video
    • GTPAC Community
    • Other Training Audio & Video
  • Useful Links
  • Team Directory
    • Albany Counselor
    • Athens Counselor
    • Atlanta Counselors
    • Augusta Counselor
    • Carrollton Counselor
    • Columbus Counselor
    • Gainesville Counselor
    • Savannah Counselor
    • Warner Robins Counselor
  • Directions
    • Athens
    • Atlanta – Training Facility
    • Atlanta – Office
    • Albany
    • Augusta
    • Carrollton
    • Columbus
    • Gainesville
    • Savannah
    • Warner Robins
  • COVID-19
  • New Client Application
  • Contact Us

Five indicted in TN for fraudulent ‘Made in the USA’ sales to Armed Forces

September 22, 2016 By Andrew Smith

A federal grand jury in Tennessee has indicted five individuals for wire fraud, conspiracy to commit wire fraud, major fraud against the United States, and smuggling in connection with Chinese-made military boots to the U.S. Armed Forces and others.

Justice Dept. sealThese individuals appeared in court on Sept. 15, 2016 and pleaded not guilty.  All were released on bond pending trial, which has been set for Nov. 1, 2016, in U.S. District Court, in Greeneville, TN.

If convicted, they all face a term of 20 years in prison as to each wire fraud charge and smuggling charge, and up to 10 years in prison for the charge of major fraud against the United States.  Additionally, they face fines of up to $250,000 and up to three years of supervised release as to each count.  The indictment also seeks forfeiture of approximately $8.1 million.

Details of this conspiracy are included in the indictment on file with the U.S. District Court, which alleges that these individuals, all of whom were executives and management at Wellco Enterprises, Inc., conspired from December 2008 through August 2012 to defraud the United States government and other purchasers through a scheme to fraudulently import military-style boots that were made in China into the United States and then deceptively market and sell those boots to the United States Armed Forces, government contractors, and the general public as “Made in the USA,” and as compliant with certain domestic content preference laws, including the Trade Agreements Act and the Berry Amendment.

This indictment is the result of an investigation by Homeland Security Investigations, the Defense Criminal Investigative Service, Air Force Office of Special Investigation, General Services Administration Office of Inspector General, and the Defense Contracts Audit Agency.

Members of the public are reminded that an indictment constitutes only charges and that every person is presumed innocent until his/her guilt has been proven beyond a reasonable doubt.

Source: https://www.justice.gov/usao-edtn/pr/five-indicted-fraud-against-us-government-and-other-purchasers-made-usa-marketing

Filed Under: Contracting News Tagged With: DCAA, DCIS, DHS, DOJ, domestic content preference, fraud, Government Contracting News Tagged With: Berry Amendment, GSA, indictment, Justice Dept., smuggling, Trade Agreements Act, wire fraud

Recent Posts

  • DoD publishes long awaited interim rule on CMMC
  • GSA Region 4 OSDBU hosting small business webinar
  • GTPAC launches COVID-19 resource page
  • GDEcD seeks GA Manufacturers and Distributors that can help with critical health care supply needs related to COVID-19
  • Georgia DOAS to hold 4th Annual Georgia Procurement Conference April 21-23, 2020

Popular Topics

8(a) abuse Army bid protest budget budget cuts certification construction contract awards contracting opportunities cybersecurity DoD DOJ False Claims Act FAR federal contracting federal contracts fraud GAO Georgia Tech government contracting government contract training government trends GSA GSA Schedule GTPAC HUBZone innovation IT Justice Dept. marketing NDAA OMB SBA SDVOSB set-aside small business small business goals spending subcontracting technology VA veteran owned business VOSB wosb

Contracting News

DoD publishes long awaited interim rule on CMMC

Small business subcontracting for cloud computing gets easier

Long awaited changes to WOSB/EDWOSB regulations expected this summer

The CMMC has arrived: DoD publishes version 1.0 of its new cybersecurity framework

GSA keeping ‘on track’ with schedule consolidation

Read More

Contracting Tips

A guide to labor and employment obligations for federal contractors

Who pays for CMMC certification?

Other transaction agreements: Where does an unsuccessful bidder go?

Knowledge is power, if you know how to use it

EAJA provides relief to construction contractor for government’s bad actions

Read More

GTPAC News

GSA Region 4 OSDBU hosting small business webinar

GTPAC launches COVID-19 resource page

GDEcD seeks GA Manufacturers and Distributors that can help with critical health care supply needs related to COVID-19

Georgia DOAS to hold 4th Annual Georgia Procurement Conference April 21-23, 2020

MICC Fort Stewart hosting acquisition forecast open house on Thursday, Feb. 6, 2020

Read More

Georgia Tech News

Dr. Abdallah testifies on U.S. competitiveness, research, STEM pipeline at Congressional hearing

Georgia Tech’s Technology Square Phase III to include George Tower

Student surprises his teacher with Georgia Tech acceptance news

Georgia Tech Applied Research will support DHS information safeguarding effort

$25 million project will advance DNA-based archival data storage

Read More

  • SAM.gov registration is free, and help with SAM is free, too
APTAC RSS Twitter GTPAC - 30th Year of Service

Copyright © 2021 · Georgia Tech - Enterprise Innovation Institute