Three Arrested in Furniture Bribery and Kickback Scheme
October 7, 2005
WASHINGTON D.C. — A U.S. Army Contracting Director Steven G. Potoski, Alvan Vance McQueen and Ellis Abramson were arrested in September and charged with participating in a scheme to pay bribes to a public official and take kickbacks in connection with U.S. Army contracts awarded from an Army recreational facility in Germany.
McQueen, president of Flat Rock Furniture in Waldron, Indiana and Abramson, president of Bramson House, Inc. in Freeport, New York were both charged with paying Potoski—the former director of contracting for the Edelweiss Lodge and Resort, Armed Forces Recreation Center in Garmisch, Germany—cash in return for his agreement to fraudulently inflate certain line items in contracts between the AFRC and these companies.
If convicted, they face a maximum sentence of 15 years in prison on bribery charges, 10 years on an anti-kickback charge and five years in prison on the interstate or foreign travel in aid of racketeering charge.
This case was investigated by the U.S. Army Criminal Investigation Division Command and the Internal Revenue Service-Criminal Investigations.
"Americans will not tolerate corruption of public officials, particulary those who corruptly put into their own pocket money intended for the benefit of American soldiers," said Assistant Attorney General Fisher.
McQueen, president of Flat Rock Furniture in Waldron, Indiana and Abramson, president of Bramson House, Inc. in Freeport, New York were both charged with paying Potoski—the former director of contracting for the Edelweiss Lodge and Resort, Armed Forces Recreation Center in Garmisch, Germany—cash in return for his agreement to fraudulently inflate certain line items in contracts between the AFRC and these companies.
If convicted, they face a maximum sentence of 15 years in prison on bribery charges, 10 years on an anti-kickback charge and five years in prison on the interstate or foreign travel in aid of racketeering charge.
This case was investigated by the U.S. Army Criminal Investigation Division Command and the Internal Revenue Service-Criminal Investigations.
"Americans will not tolerate corruption of public officials, particulary those who corruptly put into their own pocket money intended for the benefit of American soldiers," said Assistant Attorney General Fisher.