NCJ Number
68583
Date Published
1980
Length
11 pages
Annotation
RESULTS ARE SUMMARIZED FROM FRAUD AND CORRUPTION INVESTIGATIONS INTO GENERAL SERVICE ADMINISTRATION (GSA) OPERATIONS.
Abstract
GSA HAS BEEN THE TARGET IN RECENT YEARS OF A NUMBER OF INVESTIGATIONS INTO ALLEGATIONS OF FRAUD, THEFT, AND MISMANAGEMENT. THOSE INVESTIGATIONS, CONDUCTED BY THE GSA ITSELF, A SPECIAL JUSTICE DEPARTMENT STRIKE FORCE, SEVERAL GRAND JURIES, CONGRESSIONAL COMMITTEES, AND THE GENERAL ACCOUNTING OFFICE, HAVE RESULTED IN 133 INDICTMENTS. OF THOSE, 95 HAVE PLED GUILTY OR BEEN CONVICTED, 37 AWAIT TRIAL, AND 1 HAS BEEN FOUND NOT GUILTY. GRAND JURY INVESTIGATIONS HAVE PRODUCED INDICTMENTS IN THE AREAS OF REPAIR CONTRACTS WHERE PAYMENTS WERE GIVEN TO CONTRACTORS FOR WORK NEVER PERFORMED IN RETURN FOR PAYOFFS TO GSA EMPLOYEES. INDICTMENTS WERE ALSO GIVEN IN CASES WHERE 'LOW BID' PROCEDURES WERE MANIPULATED TO THE BENEFIT OF CONTRACTORS WILLING TO PAY GSA OFFICIALS. INDICTMENTS WERE DELIVERED IN CASES WHERE GSA SELF-SERVICE STORE EMPLOYEES RECEIVED KICKBACKS FOR AUTHORIZING PAYMENT ON GOODS NEVER RECEIVED. INDICTMENTS ALSO ALLEGED THAT PRIVATE CONTRACTORS HAD BEEN AWARDED INFLATED CONTRACTS, WITH THE GSA AWARDING OFFICIALS RECEIVING A PORTION OF THE EXCESS PROFITS. ADDITIONAL INVESTIGATIONS HAVE REVEALED INCOMPETENCE AND MISMANAGEMENT THAT DOES NOT NECESSARILY INVOLVE CRIMINAL WRONGDOING. AS A RESULT OF INVESTIGATION FINDINGS, GSA HAS INSTITUTED A NUMBER OF PROCEDURAL REFORMS TO SUPPLEMENT THE ESTABLISHMENT OF A SPECIAL COUNSEL AND OFFICE OF INSPECTOR GENERAL FOR CORRECTING AND PREVENTING THE KINDS OF ABUSES REVEALED. REMEDIAL ACTIONS ARE DESCRIBED, AND LEGISLATION AND HEARINGS BEARING UPON GSA OPERATIONS ARE LISTED, ALONG WITH ADDITIONAL REFERENCE SOURCES. (RCB)