A contractor providing intelligence and training services to the Defense Department billed luxury cars to the government, sought reimbursements for the salaries of well-connected secretaries who did little in the way of actual work and exceeded statutory caps for executives’ pay, according to a new audit.
All told, the Defense Contract Audit Agency (DCAA) questioned $50 million the British company New Century Consulting billed to the Pentagon, according to a report summarized in a letter from Sen. Claire McCaskill, D-Mo., to Defense Secretary Jim Mattis. The vehicles, including Porsches, a Bentley and an Aston Martin, were used exclusively by the CEO and other top executives at the company, DCAA found.
New Century operated as a subcontractor for Imperatis Corp., which has an extended history of problematic dealings with the federal government. Last year, Imperatis abruptly quit a cybersecurity contract it had with the Office of Personnel Management and the Homeland Security Department, citing “financial distress.” Defense contracted with Imperatis on its Legacy East project to provide “counterinsurgency intelligence experts” to train Afghani security forces.