Thursday, July 26, 2018

California Figures Out How to Catch the Kickbacks for Contracts Scheme

As previously reported here, an Engineer was caught in New Jersey taking kickbacks for public work - and schools.



Now California has had a federal probe of an Engineering Firm (AAE) that has served as the City Engineer for several cities and has done work in dozens of cities across Southern California.  Bribery has been found.



To quote the article, "...The Times quoted a former Maywood official as saying he twice received envelopes containing thousands of dollars in cash from an AAE executive. The executive provided the money in hopes of making it easier for the firm to get new contracts and receive quick payment for existing ones, the former official said. Federal sources confirmed that account and that the official had worked undercover for the FBI."



They also state:  "...Federal authorities are also probing reports that AAE provided gifts to former Montebello city officials at golfing events, according to the sources, who spoke on the condition of anonymity because of the ongoing case."



The charges?

"...AAE awarded all the work to itself and then approved its own invoices and oversaw its own compliance...".





Here is the story:

http://www.latimes.com/news/local/la-me-aae-20111102,0,3835276.story



California audit targets Montebello's engineering firm





State Controller John Chiang's office says the firm AAE, at the center of a federal probe, awarded about $2 million in contracts to itself, approved its own invoices and oversaw its own compliance.



By Jessica Garrison, Sam Allen and Richard Winton, Los Angeles Times



November 2, 2011









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