Plum Brook Per diem scam

[radiationman]

How about the 4 Mota Employees being indicted by the federal Govt for per diem fraud? $364,000 in Diem.

[Nuclear NASCAR]

How about a link supporting link prior to this topic being deleted?

Thanks in advance,
Tom

[thenukeman]

www.usdoj.gov/usao/ohn/news/7May2008.html
News
Release
For Release: May 7, 2008
U.S. Department of Justice
United States Attorney
Northern District of Ohio
William J. Edwards
Acting United States Attorney
Robert W. Kern
Assistant U.S. Attorney
(216) 622-3836
William J. Edwards, Acting United States Attorney for the Northern District of Ohio,
announced today that a federal grand jury in Cleveland, Ohio, returned an indictment
charging four individuals with fraudulently receiving per diem expenses of approximately
$347,664.93 under their employment contracts with MOTA Corporation, a prime contractor
of NASA in connection with the decommissioning of a nuclear reactor located at the NASA
Plum Brook Facility in Sandusky, Ohio.
Charged in the Indictment are Eric Johannsen and Eric Bertrand of Oak Harbor, Ohio,
Joseph Sorg of Sandusky, Ohio, and David Eckman, formerly of Oak Harbor, Ohio.
The indictment charges that Eric Johannsen (who was the Project Manager), along with
Joseph Sorg, Eric Bertrand and David Eckman each falsely listed permanent addresses more
than 50 miles from NASA Plum Brook in order to receive per diem payments of between
$65.00 and $75.00 per day, when, in fact, each defendant had established and maintained a
permanent residence less than 50 miles from the NASA Plum Brook Facility. As a result,
the Indictment charges that between May 2003 and April 2008, the defendants embezzled,
stole and purloined funds belonging to the United States, or any department of agency there
of, in the following respective amounts:
Eric Johannsen - $88,372.19
Joseph Sorg - $51,183.03
Eric Bertrand - $117,719.86
David Eckman - $90,389.85
If convicted, the defendants' sentences will be determined by the Court after review of
factors unique to this case, including the defendants' prior criminal record, if any, the
file:///C:/Documents%20and%20Settings/mcampbe1/Loca...0Internet%20Files/OLK258/MOTA%20Press%20Release.htm (1 of 2) [5/8/2008 3:48:06 PM]
News Release 7 May 2008
defendants' roles in the offense, and the characteristics of the violation. In all cases the
sentences will not exceed the statutory maximum and, in most cases, it will be less than the
maximum.
This case is being prosecuted by Assistant U.S. Attorney Robert W. Kern of the Cleveland
U.S. Attorney's Office, following an investigation by the NASA Office of Inspector
General located at the Glenn Research Center in Cleveland, Ohio.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair
trial in which it will be the government's burden to prove guilt beyond a reasonable doubt.

[thenukeman]

Better make sure you live 50 miles away.  I would hate to pay that much Diem Back or go to Jail

[Nuclear NASCAR]

Karma nukeman.  Thanks for the info.

[ISOCS]

WOW! Mr. Robert Kern is a real hotdog doing the IRS' job just to try and make a name for himself. Why can't he go after the real criminals?

[retired nuke]

WOW! Mr. Robert Kern is a real hotdog doing the IRS' job just to try and make a name for himself. Why can't he go after the real criminals?

Fraud of over $300k is pretty criminal.....

[illegalsmile]

This isn't just a question of not paying taxes. If as alleged, this money was a fraudulently claimed to MOTA, it was then passed on to NASA and paid for out of our taxes.
Consequently, if true, these people stole of a quarter of a million dollars in our tax money.
Again, these seem to be allegations and have not yet been proven.

[Smart People]

WOW! Mr. Robert Kern is a real hotdog doing the IRS' job just to try and make a name for himself. Why can't he go after the real criminals?

I doubt Mr. Kern woke up one day and said "I think I'll look at Per Diem at Plumbrook.". Its probably safe to assume there was information given to begin the investigation

[Dave Warren]

I doubt Mr. Kern woke up one day and said "I think I'll look at Per Diem at Plumbrook.". Its probably safe to assume there was information given to begin the investigation

I am with you Smart People.
You have to wonder why 4 obscure people (no offense), in the middle of Northern Ohio, would be targeted for illegally obtaining per diem for 5 years.
I know Mr. Eckman and he is a pretty jovial fellow with most people.
This one kinda reeks of foul play.

[illegalsmile]

I was just reading over some of the PB postings....seems there was a lot of H&D (hate and disontent) there so I'm guessing somebody dropped a dime....or in this case a quarter of a megabuck. It also looks like a lot of people were there over a year. Were they drawing PD? Was anyone entitled to PD? I bet there's going to be more names showing up in the news.

[duke99301]

So Did someone drop a dimeon these guys?
I am glad I left before I was there a year

[vikingfan]

im sure someone dropped a manhole cover to get this one going kind of reminds me of d.c cook ! as for the per diem anyone who worked there whether they were there for a year or more or just a few months had their diem taxed as incoe fro day 1 of employment. not sure how thisis handled in terms of the illusion that thy benefited from expense fraud though.

[illegalsmile]

im sure someone dropped a manhole cover to get this one going kind of reminds me of d.c cook ! as for the per diem anyone who worked there whether they were there for a year or more or just a few months had their diem taxed as incoe fro day 1 of employment. not sure how thisis handled in terms of the illusion that thy benefited from expense fraud though.

I don't know how the P/D was billed by MOTA, since they were a sub contractor, but the common practice would be to pass it along dollar for dollar to the Prime Contractor who would then pass it along to NASA. If someone who was not entitled to P/D claimed it, and gave a false home-of-record to get it, they could be guilty of giving false testimony (the claim they had home-of-record >50 miles from the site) even though the P/D was taxed. It would be akin to timecard fraud. I bet Beer Court could 'splain it better.
I believe MOTA's contract at Plum Brook ended in April, so this could have come up during a close-out audit.

[fueldryer]

How about a link supporting link prior to this topic being deleted?

Thanks in advance,
Tom

Wow!

[vikingfan]

no matter what still have to have that viable residence >50 miles from work

[duke99301]

I was over four hours away. I never been close to home.
so who is running the site now?
how about the guy who lives in his car how would that work?

[RAD-GHOST]

Does that make them Plum Crooks?   

One should be prunish when making such decisions!   

Sorry, couldn't help myself.................RG!

[illegalsmile]

Does that make them Plum Crooks?   

One should be prunish when making such decisions!   

Sorry, couldn't help myself.................RG!

You should be 'pun'ished for being so punny

[justatech]

What if the "per diem" was included in their checks and taxable but added as "wage increase?" Not a separate "per diem" check that we receive on the road and nontaxable....................just a thought.

[retired nuke]

What if the "per diem" was included in their checks and taxable but added as "wage increase?" Not a separate "per diem" check that we receive on the road and nontaxable....................just a thought.

Sounds like it's more about how it was billed to the Gov't - regardless of what taxes were paid.....

[illegalsmile]

What if the "per diem" was included in their checks and taxable but added as "wage increase?" Not a separate "per diem" check that we receive on the road and nontaxable....................just a thought.

I'm guessing if a worker was given a 'wage increase' then the worker is fine and how it was billed to NASA is an issue for MOTA to deal with.

[snowman]

I am with you Smart People.
You have to wonder why 4 obscure people (no offense), in the middle of Northern Ohio, would be targeted for illegally obtaining per diem for 5 years.
I know Mr. Eckman and he is a pretty jovial fellow with most people.
This one kinda reeks of foul play.

I'd be pretty jovial too if I'd been gettin' diem for five years on the same job. This ain't the '80's anymore.

[Brewster]

I smell a RATT!

[Dave Warren]

I'd be pretty jovial too if I'd been gettin' diem for five years on the same job. This ain't the '80's anymore.

Ya mean we aren't supposed to do that now?