Three Washington-area building maintenance contractors pleaded guilty yesterday to charges of defrauding the government of more than $200,000 they received from the General Services Administration for repairs never made.
The three men, all of whom were described by Assistant United States Attorney William Block as cooperating with the government, appeared before U.S. District Court Judge Oliver Gasch to enter their pleas to one count of conspiracy to defraud the government. Each could receive five years in pail and a fine of $10,000. No date was set for sentencing.
The three are David H. Smith, 54, of Adelphi, James B. Wheatley, 32, of Herndon and Thomas E. Jenkins, 31, of Arlington. Wheatley and Jenkins who worked together, received GSA contracts worth $150,000 but performed only $120,000 worth of work, according to court papers. The reaming $30,000 was split between them and GSA employes, according to court papers.
Smith was charged with receiving contracts worth $860,000 but actually doing only $650,000 worth of work. Most of the remaining $210,000, according to court papers, was given back to GSA employes in the form of kickbacks. In some instances, Block told Gasch yesterday, "the greed or avarice" of the GSA employes involved led them to give Smith contracts where no work was performed so that he could cover the cost of the kickbacks they were demanding.
The GSA employes involved were not identified in court yesterday.