Defense contractors charged with ripping off U.S. military to the tune of $8 billion

Kaylah Jackson
December 03, 2018 - 9:58 am

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Three defense contractor executives were charged with defrauding the Department of Defense in $8 billion after they gave inaccurate job timelines about a warehouse construction site, according to reports.

Abdul Huda Farouki, Mazen Farouki, and Salah Maarou, three men connected with United Arab Emirates-based defense contractor Anham FZCO, were charged with two counts of major fraud, among other charges including conspiracy and money laundering.

The indictment states the contractor submitted bids for a warehouse construction project but falsified job progress by sending the DoD misleading photos.  After taking photos of the proposed site and sending them to DoD, they “deconstructed the staged construction site,” according to the report. 

Anham planned to use the warehouses to provide supplies to U.S. Forces but the photos they provided to the government made it seem the buildings were farther along than in reality. 

Reports from WTOP say all three men were originally the $8 billion contract to provide food and supplies to service members in 2012. The organization has spoken out and said, “at no time did ANHAM’s former employee or subcontractors cause any loss to the federal government.”

The men also allegedly attempted to increase Anham FZCO’s own profits by shipping materials for the warehouse projects to Afghanistan, via Iran, violating U.S. sanctions. 

The next hearing is scheduled for December 6.

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