Three Virginia businessmen were charged with attempting to defraud the United States Military by engaging in illegal commerce in Iran and laundering money internationally in an attempt at winning contracts in Afghanistan.
In 2012, Anham FZCO, a defense contractor based in the United Arab Emirates (UAE), which maintained offices in Dubai, UAE, Jordan and the United States, was awarded an $8 billion contract to provide food and supplies to U.S. troops stations in Afghanistan. During the bidding process, Anham said they would build two warehouses to provide supplies. According to the indictment, Anham executives knowingly provided false estimates of the completion dates for the warehouses and by providing the government with misleading photographs intended to convey that Anham’s progress on the warehouses was further along than it actually was. The company allegedly took construction materials and equipment to a site in February 2012 when they created the false appearance of an active construction site. Anham took photos, sent them to the Department of Defense as “in-progress,” and then deconstructed the temporary site.
According to the Department of Justice, bidders were required to certify that they abide by the Iran Sanctions Act, which prohibits U.S. citizens and companies from engaging in commercial activity in Iran. The company allegedly violated the sanctions by shipping warehouse materials to Iran and then, eventually, Afghanistan. They did this as a means of saving money.
“According to the indictment, after learning that the Wall Street Journalwas planning to run a story detailing Anham’s practice of shipping materials through Iran, Abul Huda Farouki sent an email to a senior Department of Defense official, which falsely claimed that senior management at Anham had been unaware that the transshipments through Anham had taken place,” the DOJ said in a release. (Read more from “DOJ Indicted Democratic Mega Donor for Defrauding the Military to Win $8 Billion Defense Contract” HERE)