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Man pleads guilty in contracting fraud scheme

Posted: May 18, 2012 - 12:07am

WASHINGTON — A former Army Corps of Engineers employee has pleaded guilty to his role in a $30 million bribery and kickback scheme involving the awarding of government contracts.

Kerry F. Khan pleaded guilty Thursday in U.S. District Court in Washington. His son, Lee Khan, also pleaded guilty Thursday.

The Khans and two other men were charged in a complex scheme to defraud the government through inflated invoices and the corrupt steering of contracts.

The two other men, former Army Corps of Engineers employee Michael A. Alexander, and Harold F. Babb, director of contracts at an Alaska Native-owned small business, have pleaded guilty. Several others have been charged.

U.S. Attorney Ron Machen said the cases against the men were as strong as “you would ever want to see.”

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