Two Department of Defense Contractors Charged in Bribery Conspiracy Related to DOD Contracts in Afghanistan

WASHINGTON — Two Department of Defense (DOD) contractors were charged with conspiracy and bribery relating to their roles involving DOD contracts in Afghanistan, the Department of Justice today announced. A Lebanese contracting company is also charged with participating in the same conspiracy. The criminal complaint, unsealed today and originally filed on April 3, 2009, in U.S. District Court in Alexandria, Va., charges Dinorah Cobos with bribery and conspiracy to commit bribery. Cobos, a U.S. citizen living in Dubai, United Arab Emirates, worked as a contractor with the U.S. Army Corps of Engineers at the Afghanistan Engineer District in Kabul, Afghanistan. The criminal complaint also charged Afghanistan Engineer District contractor Raymond Azar, a citizen of Lebanon, with conspiracy to commit bribery, and Sima Salazar Group, a Lebanese military contracting company, with bribery and conspiracy to commit bribery. Cobos and Azar were located in Afghanistan at the time the charges were filed. They were taken into U.S. custody and transferred to the United States, with the authorization of Afghan authorities. Cobos and Azar made their initial appearance on Thursday, April 9, 2009, in front of U.S. Magistrate Judge T. Rawle Jones Jr., in Alexandria, Va. According to the court documents, beginning in 2008, Cobos and Azar conspired to bribe a U.S. Army Corps of Engineers contracting officer in exchange for approval of payment of fraudulent invoices on contracts that Sima Salazar Group held with the U.S. Army Corps of Engineers in Afghanistan. The court documents allege that Cobos offered to pay the contracting officer up to 1.5 percent of any payments made by U.S. Corps of Army Engineers to Sima Salazar Group and that $16,789 in bribe money was, in fact, wired to the contracting officer in the United States. "We will aggressively prosecute military contractors who attempt to bribe government officials in order to line their own pockets," said Scott D. Hammond, Acting Assistant Attorney General in charge of the Department’s Antitrust Division. "The alleged conduct is particularly egregious because the contracts at issue were intended to assist U.S. soldiers abroad serving their country." "The FBI remains committed to ensuring a fair and honest procurement process," said Assistant Director Kenneth W. Kaiser of the FBI’s Criminal Investigative Division. "Working with our partners, we will continue to pursue all individuals who engage in bid rigging, bribery or other criminal conduct that impact our U.S. military operations and soldiers overseas." "Today’s announcement is a testament to our solid and continued partnership with the Department of Justice and other law enforcement agencies in the fight against fraud and greed here and abroad," said Brig. Gen. Rodney Johnson, commander of the U.S. Army’s Criminal Investigation Command. "The Department of Defense requires contractors to adhere to ethical standards designed to guarantee the integrity of the acquisition process," said Sharon Woods, Director of the Defense Criminal Investigative Service. "Individuals who engage in disreputable activity which compromises the process undermine principles of fair and open competition government agencies strive to support. The Defense Criminal Investigative Service remains committed to ensuring military contractors who engage in fraudulent activity are held firmly accountable." "As part of its continuing work to prevent fraud, the Afghanistan Engineer District of the U.S. Army Corps of Engineers actively supported these agencies in their investigation. The developments of this case should serve as a warning to other contractors of the consequences they face for criminal actions aimed at the United States and the people of Afghanistan," said Col. Thomas E. O’Donovan, Commander of the Afghanistan Engineer District of the U.S. Army Corps of Engineers. Cobos faces up to 15 years in prison and a fine of $250,000 or twice the thing of value offered for t