Fraud? What Fraud?

If you’ve ever tried for a government contract, you know that there’s plenty of paperwork involved. For example, you have to disclose any past fraud convictions. If you don’t, you could find yourself facing even more problems.

That’s allegedly what Richard Hudec, Jr. of Naples, Florida did. Back in 2001 he was released from prison after serving time for bank fraud, mail fraud and aiding and abetting. He was also facing civil judgments from New Jersey, the IRS, and various companies that he had allegedly defrauded.

Now, if you’ve been convicted of fraud, and you’ve even served time at ClubFed, you know that disclosing that on your paperwork might negatively impact your chances of getting a government contract. And what government contract was Mr. Hudec attempting to get? His wife purchased Holiday International Security, Inc., and changed the name to USProtect. USProtect apparently got some government contracts as the company provided security at 120 federal installations through a GSA (General Services Administration) contract.

How did USProtect get the contracts? Well, one method that they allegedly used was bribery. The former owner, Michael Holiday, pleaded guilty to bribery and tax evasion. Mr. Holiday used bribes to a former GSA official to secure contracts in California and Maryland.

Indeed, Dessie Nelson of Oakland, California has been charged with receiving over $100,000 in bribes and a cruise from Mr. Holiday. And tax evasion for not declaring the income from the bribes.

As for Mr. Hudec, he’s been charged with concealing material information and tax evasion. He allegedly did not report over $500,000 of income from USProtect that he received on his 2002 tax return.

News Story: Naples Daily News

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