Government Contractor Charged in $2.6M Fraud Scheme

Chester L. Neal Jr., 43, of Fresno, California, was arrested in St. Louis, Missou, and charged in an indictment filed in the Eastern District of California with two counts of mail fraud.

According to the indictment, Neal established and controlled several companies through which he secured at least 105 government contracts to provide various goods and services to federal agencies including the Department of Interior, U.S. Army and U.S. Air Force. 

The indictment alleges that Neal subcontracted the work to other vendors who provided all of the goods and services to the contracting federal agencies.  Neal allegedly made several misrepresentations in order to induce the subcontractors to perform the contractually required work.

The indictment further alleges that Neal did not pay his subcontractors even though he was paid by the government for his subcontractors’ work.  Instead, Neal allegedly kept the money for his personal use.  In total, between July 2008 and December 2017, Neal allegedly defrauded his subcontractors out of at least $2.6 million.

 

 

 

Posted in The Takedown

Tags: fraud, federal contractor

Print

You can't afford NOT to have FEDS protection.

Visit FEDS Online

This Week on FEDtalk

Two Opportunities for You

Tune in to the next episode of FEDtalk on Friday, November 30th, 2018, to hear the latest from Shane Canfield, CEO of WAEPA, who will be discussing the company’s new offerings, and what federal employees should be thinking about, with Open Season in full swing. Also on the program will be Senior Executives Association President Bill Valdez discussing the upcoming 2018 Presidential Rank Awards Leadership Summit, to be held on December 13, 2018.

Read more ...

Hear it from FLEOA

An Update on the OPM Cyber Breach

In the wake of the most recent data breach of Equifax, FLEOA has provided an update on the June 2015 Office of Personnel Management (OPM) data breach to include claims, lawsuits and legislation.

Read more ...
FEDagent

FEDagent.com

The free weekly e-report for Federal Law Enforcement

Get in touch with us

Email FEDagent publisher

Copyright 2018 FEDagent.com
Hosted by Peak Media Company, LLC