Another Guilty Plea in GDMA Scandal

by Ship & Bunker News Team
Friday July 4, 2014

A retired U.S. Navy commander has pleaded guilty to charges connected to the Glen Defense Marine Asia (GDMA) scandal, Reuters reports.

Edmond Aruffo, who went to work as a GDMA manager after retiring from the Navy, admitted to one count of conspiracy to commit bribery as part of a plea deal with prosecutors.

"There is an old navy saying: Not self but country," U.S. Justice Department Assistant Attorney General Leslie Caldwell said.

"Edmond Aruffo instead put self before country when he stole from the U.S. Navy as part of a massive fraud and bribery scheme that cost the U.S. Navy more than $20 million."

Aruffo worked with GDMA subcontractors to inflate invoices for services provided to navy ships in Japan, producing kickbacks of as much as $205,000 per contract for GDMA.

He is scheduled for sentencing in October and faces up to five years in prison.

Aruffo is the fourth defendant to plead guilty in the case, in which seven navy officers and GDMA employees have been charged.

In May, Petty Officer 1st Class Dan Layug also pleaded guilty to one count of conspiracy to commit bribery.