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| US Marine gets 6-year prison term for Iraq fraud | |
| 2011-02-09 | |
| LOS ANGELES - A US Marine Corps captain who last year pleaded guilty to skimming nearly $1.7 million from government contracts in Iraq was sentenced to six years in federal prison on Monday. Captain Eric Schmidt, who is assigned to the First Marine Division at Camp Pendleton in Southern California, pleaded guilty last May to conspiracy to commit wire fraud and filing a false tax return with the US Internal Revenue Service. His wife, Janet Schmidt, pleaded guilty to a tax offense in connection with the scheme and faces three years in prison when she is sentenced in March. Schmidt, who is still in the Marine Corps, was sentenced by US District Judge Virginia A. Phillips in a civilian federal court. Prosecutors say Schmidt, 40, who was deployed to Iraq in 2008, used his position to steer business to an Iraqi contractor, Al-Methwad Company. Once Al-Methwad had been awarded the contracts, prosecutors say, Janet Schmidt used money from Al-Methwad to purchase fewer or inferior goods than those required by the contract and arranged for their delivery to Marines in Iraq. Prosecutors say the Schmidts caused the US Defence Department to suffer losses of $1.69 million and the Internal Revenue Service to suffer losses of more than $450,000. During the course of the investigation, government agents seized two California properties,
"The Schmidts defrauded US taxpayers, cheated the Iraqi people and betrayed the trust placed in them," said Stuart Bowen, attorney for the Special Inspector General for Iraq Reconstruction. "They will now pay a price for their criminal wrongdoing." | |
| Posted by:Steve White |
| #5 BTW, this qualifies him to move to Pennsylvania after the gets out to run for the John Murtha Congressional Seat. |
| Posted by: Procopius2k 2011-02-09 09:24 |
| #4 One may ask "WHY THE HELL is he still in the Marine Corps?" 1. Because he holds a commission by an act of Congress [per their authority under Article I]. 2. The process to de-commission him requires that all due process be completed, to include appeals. Upon completion of the appeal process the service Secretary can sign the applicable paper work ending the commission. Since he plead guilty, that will expedite the process, simply awaiting this part of the process. If the admin people were on their job, the paperwork should already be on the Secretary's desk right now. 3. Had they gone the Courts Martial route, the board of officers could have reduced him to the lowest rank and directed the forfeiture of all pays and allowances in the interim period. Guess the opportunity to dump him in the fed system was compensation for that option. |
| Posted by: Procopius2k 2011-02-09 09:18 |
| #3 He'll stay in the Marines until he finishes his sentence at which time he will booted on his ass with nothing. |
| Posted by: Deacon Blues 2011-02-09 07:41 |
| #2 Schmidt, who is still in the Marine Corps One may ask "WHY THE HELL is he still in the Marine Corps?" |
| Posted by: Rambler in Virginia 2011-02-09 05:33 |
| #1 Commissioned officer robbing from the DOD? Do a Danny Deever on him. Military officers should be held to the tightest possible standards. LR Former U.S. Army Captain |
| Posted by: Lone Ranger 2011-02-09 03:23 |