By John Lee.
A British contractor has agreed to plead guilty to wire fraud conspiracy in a deal to supply vehicles to Iraqi police, according to Associated Press.
APTx was to receive $5.7 million as a subcontractor in an August 2004 deal to procure 51 vehicles for the Iraqi Police Authority.
The US Department of Justice said that in 2005 the company tried to draw down the letters of credit it was paid with by claiming the vehicles were ready to ship to Iraq even though they hadn’t been built.
Massachusetts businessman and APTx representative Benjamin Kafka pleaded guilty in 2009 to concealing his knowledge of the scheme.
The company has agreed to pay a $1 million criminal fine.
(Source: Associated Press)