VA Purchasing Agent Admits Kickbacks

From the U.S. Attorney:

Former Department of Veterans Affairs Procurement Supervisor Guilty of Pocketing Kickbacks

CHICAGO — A former procurement supervisor at the Jesse Brown Department of Veterans Affairs Medical Center in Chicago has admitted in federal court that he pocketed kickbacks from the president of a medical supply company to steer the company product orders that the VA paid for but never received.

While serving as a supervisor in the medical center’s Central Supply department, THOMAS E. DUNCAN received thousands of dollars in kickbacks paid in cash and checks from DANIEL DINGLE, the president of a medical supply company based in the Chicago suburb of Dolton. 

The checks were made payable to Helping Hands Properties LLC – a third-party entity managed by Duncan – and contained false and misleading memo entries in order to conceal and disguise the existence and purpose of the kickbacks. 

In exchange for the kickbacks, Duncan used his official position at the VA to fraudulently initiate and approve purchases of products from Dingle’s company, knowing that many of the products would not actually be delivered to the VA.

The fraud scheme began in 2012 and continued until 2019. 

In late 2018, after Duncan became aware that the VA Inspector General’s Office was investigating his conduct, Duncan created fake invoices from Helping Hands purporting to document work performed for Dingle’s company. 

Duncan also told Dingle to falsely tell investigators that the payments Duncan received from Dingle’s company were for work performed by Helping Hands.

Duncan, 39, of Chicago, and Dingle, 52, of Riverdale, Ill., each pleaded guilty Tuesday to one count of wire fraud, which is punishable by up to 20 years in federal prison. 

U.S. District Judge Steven C. Seeger set Duncan’s sentencing for Nov. 30, 2023.  Dingle’s sentencing has not yet been scheduled.

It is the government’s position that the defendants owe restitution of approximately $1,719,219 to the U.S. Department of Veterans Affairs.  The amount of restitution will be determined by the Court at the time of sentencing.

The guilty pleas were announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Gregory Billingsley, Special Agent-in-Charge of the U.S. Department of Veterans Affairs, Office of Inspector General, Central Field Office.  The government is represented by Assistant U.S. Attorney Heidi Manschreck.


Comments

VA Purchasing Agent Admits Kickbacks — 2 Comments

  1. Just MO corruption in the Gov job sector… disgusting.. and sickening the entire system needs to be gone thru from top first then to bottom…

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