Former United Nations Employee Found Guilty of Fraud
South Riding Man Defrauded Two Employers to Get Two Paychecks for Six Months
ALEXANDRIA, Va. – Jeffery K. Armstrong, 52, of South Riding, Va., was found guilty today by a federal jury on nine counts of wire fraud for obtaining more than $100,000 in salary payments by fraudulently holding concurrent jobs at the United Nations (UN) and the National Labor Relations Board (NLRB).
Neil H. MacBride, United States Attorney for the Eastern District of Virginia; Assistant Attorney General Lanny A. Breuer of the Justice Department’s Criminal Division; James W. McJunkin, Assistant Director in Charge of the FBI’s Washington Field Office; and David P. Berry, Inspector General for the NLRB, made the announcement after the verdict was accepted by United States District Judge Gerald Bruce Lee.
Armstrong was indicted on June 28, 2011, by a federal grand jury on nine counts of wire fraud for his scheme to defraud the UN, an international organization committed to humanitarian and peace-keeping efforts, and the NLRB, an independent agency of the U.S. government. Armstrong faces a maximum penalty of 20 years in prison when he is sentenced on Jan. 27, 2012.
According to evidence presented in the trial, in March 2008 Armstrong took a leave of absence from his position as a supervisory security specialist with the Department of the Army to accept a full-time position at the U.N. As an assistant chief of the Security and Safety Service at the U.N., Armstrong was responsible for all physical security of UN facilities in New York City, among other functions. According to evidence at trial, Armstrong received an annual salary from the U.N. of approximately $160,000. In February 2009, after working at the UN for almost a year, Armstrong applied for a position as chief of the security branch within the Division of the Administration at the NLRB in Washington, D.C. In April of 2009, Armstrong became a full time employee at the NLRB, with an annual salary of approximately $121,000.
From approximately April to September 2009, Armstrong was an employee of both the UN and the NLRB. Armstrong concealed his dual employment from both employers by, among other things, dissuading NLRB personnel from contacting his supervisor at the UN, submitting incomplete or inaccurate employment forms to the NLRB, and causing to be mailed to the NLRB false correspondence suggesting that he no longer worked at the UN. In addition, Armstrong submitted medical leave documentation to the UN, indicating that he was unable to work and was undergoing medical treatment, despite his full-time employment at the NLRB. According to evidence, Armstrong failed to notify his superiors at both entities of his concurrent employment and received more than $100,000 in concurrent salary.This case was investigated by the FBI’s Washington Field Office and the NLRB Office of Inspector General. Trial Attorney Eric G. Olshan of the Criminal Division’s Public Integrity Section and Assistant United States Attorney Karen L. Dunn of the Eastern District of Virginia are prosecuting the case on behalf of the United States.