Ex-Army Corp Corruption Case ‘Historic,’ Contractor Sentenced


An ex-Army Corp contractor was sentenced for corruption charges, earning him a sentence of 19 years in prison, on Thursday. The former manager, Kerry F. Khan, was found guilty of an historically unprecedented scheme involving bribery and kickbacks.

Prosecutors say Kahn was behind a plan that netted him $30 million. NY Times reports that, in the history of federal contracting, this was a record-setting case of domestic bribery and bid-rigging.

Prosecutors say the former contractor manager for the Army Corp of Engineers took bribes from companies to secure bids for work projects from the US government. Kahn also certified falsified invoices that were inflated or simply made up.

Using the millions he earned in his years working in the Army Corp, Kahn’s corruption fueled a lifestyle sporting multiple homes and paying multiple mistresses, both in the US and abroad.

He was never stingy with the dirty money, spending it on custom tailored clothes, Rolex watches, overpriced liquor, first class flights, and an enormous home dubbed the “Khan Majal.”

Federal Judge Emmet G. Sullivan, overseeing the case since it began last year, lectured Khan, saying that he may have made history but he did so “for the wrong reasons.”

Though prosecutors asked for 15 years in prison for Khan, Judge Sullivan, outraged over the case, chose instead to give the man a 19-year sentence.

Washington Post reports that the case revealed significant issues in the way oversight of federal contracts are performed. This has since lead to changes including a new levels of review in the Army Corps.

The investigation is still continuing. So far, more than a dozen people have admitted guilt in the corruption scandal, including Khan’s brother and son. More are expected to be uncovered.

Kerry Kahn was said to have received a job evaluation only last year that lauded the manager for his “unquestionable integrity” and “completely loyalty.”

Motivated by “greed on a massive scale,” Kahn, the ex-Army Corp contractor found to be corrupt, was sentenced earlier this week for an historic bribery scandal and will also be expected to pay $32.5 million in restitution to the military.

[Image via ShutterStock]

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