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Fairhaven Man Pleads Guilty in Big Dig Fraud Scheme
AUGUST 31, 2007

BOSTON, MA - A Fairhaven man was convicted yesterday in federal court of conspiring to defraud the federal government through the submission of false claims on the Central Artery/Tunnel Project.

United States Attorney Michael J. Sullivan, Theodore L. Doherty, Special Agent in Charge of the Department of Transportation, Office of Inspector General, Office of Investigations and Marjorie Franzman, Special Agent in Charge of the Department of Labor, Office of Inspector General, Office of Labor Racketeering and Fraud Investigations, announced today that STEVEN M. BOWERS, age 54, of 6 Silver Shell Beach, Fairhaven, MA, pleaded guilty to one count of conspiracy to submit false claims, one count of conspiracy to commit federal highway project fraud and ninety-seven counts of making false statements with respect to the cost of construction on the federally funded Central Artery/Tunnel Project.

At the plea hearing, the prosecutor told the Court that, had the case proceeded to trial, the Government’s evidence would have proven that beginning in or about January 2003 through June 2005, BOWERS, a Senior Project Manager for Mass. Electric Construction Co. (“MECC”), along with two other former MECC employees, Richard Joyce and Brian Di Re, engaged in a scheme of over-billing the Central Artery/Tunnel Project by falsely categorizing apprentice electricians as journeymen on work MECC performed. The work in question was done on a time and materials basis, which meant the contractor, MECC, was paid for the actual time spent by the specific worker and the cost of the materials used, as opposed to a fixed price for the work under the contract. The scheme involved more than 500 instances of over-billing during the course of the conspiracy and resulted in false claims for more than $80,000.

Sentencing is scheduled for November 28, 2007. BOWERS faces up to ten years imprisonment, to be followed by three years of supervised release and a $ 250,000 fine.

The case was investigated by the Department of Transportation Office of Inspector General, the Department of Labor Office of Inspector General Office of Labor Racketeering and Fraud Investigations. It is being prosecuted by Assistant U.S. Attorney Anthony E. Fuller and Jeffrey M. Cohen of Sullivan’s Public Corruption and Special Prosecutions Unit.




 

 

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