Local prosecutions stemming from the multimillion dollar bribery and corruption scandal in the General Services Administration apparently ended today with sentencings of the last two people under indictment here.
Assistant U.S. Attorney Elizabeth H. Trimble said the investigation itself is not closed. However, she said she does not expect to seek further indictments in the U.S. District Court in Baltimore. The U.S. Attorney's office here prosecuted more GSA-related cases than any other district in the country.
In the last two years, 50 people were indicted in Baltimore, including GSA employes and their supervisors, other government employes and nine Maryland businessmen who had defrauded the government by charging for office supplies which were never delivered.
Two of the businesses were involved in the fraud of a massive scale. James Hilles Associates Inc. of Westminster allegedly defrauded the government of $1.7 million, and Matthew Smith, who owned three small office supply companies, overcharged the government by more than $500,000 according to prosecutors.
Sentenced today were two businessmen involved with Smith. Philip J. Guadagna and Kenneth C. Martin pleaded guilty to charges of conspiring to steal government property by helping Smith obtain and resell camera equipment and batteries for their own profit.
Guadagna, 61, was sentenced to two months in jail, Martin 57, was sentenced to two months in jail and three months on work release.