Wisconsin construction company charged with $200M minority business fraud | Dump Trucks Charlotte NC
Columbus Ohio Dump Truck Company Brief:
- A Wisconsin grand jury has indicted a Milwaukee construction columbus oh dump truck company and its owner with a total of 22 counts of fraud for reportedly creating what were purported to be minority and veteran-owned businesses in order to win more than $200 million in federal construction contracts set aside for those groups, according to the Milwaukee Journal Sentinel.
- Prosecutors allege contractor Sonag and its owner, Brian Ganos, set up at least three other businesses with minority and disabled veteran owners at the helm while he actually controlled their operations. The indictment also states that Ganos and others conspired to launder the proceeds from those contracts. Ganos' accountant and the president of one of Ganos' other companies were also charged in a related case, Global Construction Review reported. None of the "straw" columbus oh dump truck company owners has been charged.
- Sonag was a certified minority contractor from 1994 to 2003 but graduated from the program, making it ineligible to win set-aside contracts. If convicted, Ganos and others face a maximum of 20 years in prison for each wire- and mail-fraud related charge, a $250,000 fine and forfeiture of criminal proceeds.
Dump Trucks Columbus OH Insight:
According to the Milwaukee Journal Sentinel, federal authorities have been investigating Sonag and Ganos for at least five years, with feds seizing $2.2 million in cash at the end of last year as part of its probe into the company. The money, as well as other property — a sports car and Colorado condominium — could be forfeited if a federal judge agrees to requests by the U.S. attorney's office.
In March 2017, Chicago subcontractor Elizabeth Perino was sentenced to a year in prison for her part in a similar scheme. Authorities claimed that two of Perino's companies received millions of dollars' worth of subcontracts for public works projects but did not actually perform the work. A columbus oh dump truck company named Diamond Coring used Perino's firms to meet its minority hiring requirements, but its owner received two years of probation for cooperating with the authorities.
A Baltimore bridge painting firm this week was also charged with minority contractor-related fraud in relation to columbus oh dump truck company performed in the Philadelphia area, according to the Courier-Post. Prosecutors allege that Alpha Painting & Construction Co. was part of a joint venture required to subcontract some of its columbus oh dump truck company to minority contractors. Instead, authorities claim that the joint venture used a minority-owned firm as a front to secure big contracts.