Wednesday, March 29, 2023 | Back issues
Courthouse News Service Courthouse News Service

Contractors Sentenced for Navy Bribery Scheme

RICHMOND, Va. (CN) - Two former government contractors were sentenced to prison after pleading guilty to involvement in a Navy contract bribery scheme.

Scott Miserendino , a former contractor for the US Navy Military Sealift Command, was sentenced to eight years in prison and will forfeit $212,000 for conspiracy to commit bribery and acceptance of bribe by a public official.

Timothy Miller faces two years in prison and a $25,000 fine after admitting he paid off a public official in return for a government contract. Like Miserendino, Miller will also forfeit his ill-gotten gains; in his case, $167,000.

A co-conspirator, Kenny Toy, was convicted earlier this year and sentenced to eight years in prison and $100,000 in forfeitures.

According to federal prosecutors, "Miserendino and Toy initiated a bribery scheme that spanned five years, involved multiple co-conspirators, including two companies, and resulted in Miserendino and Toy receiving more than $265,000 in cash, among other things of value, in exchange for official acts in connection with the award of MSC contracts."

Miller co-founded one of the companies along with yet another co-conspirator, Dwayne Hardman, who was convicted earlier this year.

They awarded over $50,000 in cash bribes to Miserendino and Toy. Miller admitted to producing false promissory notes disguising the monies as a personal loan, prosecutors said..

Prosecutors said over the course of through their unlawful activities, Miller's company received approximately $2.5 million in business from the MSC, despite its limited record of past performance in the industry. Miserendino and Toy also directed $3 million in business from MSC to another company run by other co-conspirators.

According to the FBI, "Miserendino admitted that he and Toy also accepted other things of value in exchange for official acts, including a vacation rental, laptop computers, flat screen televisions, a football helmet signed by Troy Aikman, a wine refrigerator and softball bats."

Read the Top 8

Sign up for the Top 8, a roundup of the day's top stories delivered directly to your inbox Monday through Friday.