Tuesday, January 21, 2014

Marine Corps Embezzlement Conspiracy Scandal Leads To Changes In Financial Controls

From the Marine Corps Times on 1/21/14:

The Marine Corps is tightening its travel and expense policies in response to an embezzlement scandal involving reservists that hit headlines late last year.

Lt. Gen. Richard Mills, commander of Marine Forces Reserve, said in an interview that the Marine Corps is eliminating cash advances for travel and increasing oversight on temporary active duty orders to discourage dishonesty and theft. The new rules for TAD orders affect active-duty personnel as well as reservists.

The Internal Revenue Service charged seven Marine reservists in November with conspiracy to defraud the Defense Department to the tune of more than $874,000. The reservists, all from 3rd Air Naval Gunfire Liaison Company out of Terminal Island, Calif., were accused of receiving payments for fraudulent travel and hotel expenses. Another 21 Marine reservists were charged with filing false tax returns as part of the IRS bust. The indictment alleges that one of the Marines filled out travel vouchers with phony information to receive reimbursements for nonexistent trips and false lodging costs.

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Read the story here.

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