William S. Duffey, Jr., United States Attorney for the Northern District of Georgia; Thomas G. Wilkin, Southern Area Field Office, United States Army Criminal Investigation Command, and Andre Martin, Special Agent in Charge, Internal Revenue Service, today announced that VIRGIL E. DUNCAN, 60, of Griffin, Georgia, has pleaded guilty to a Criminal Information, on charges of making false claims, and tax evasion. According to Duffey:

DUNCAN, the owner of Evans Steel Enterprises, Inc., a manufacturer of heavy duty shipping containers, located in Griffin and Barnesville, Georgia, secured a contract with the United States Army to provide steel shipping containers for the US Army TriCon Project during the period of May, 1995, to November, 1997. According to evidence at today's plea hearing, DUNCAN signed and submitted a series of false documents, called "progress payment requests," which inaccurately reflected that he had purchased materials for the manufacturing of the containers. The contract with the US Army had provided that DUNCAN and his company would receive a total of $22,248,084 over a five year period for delivery of 7,450 shipping container units. DUNCAN, in fact, had not produced the required amount of container units, and had falsely represented to the US Army that he had incurred costs for materials used in manufacturing the containers. In addition, DUNCAN understated his personal income for the tax year of 1994 in the amount of $344,300, resulting in a tax due and owing to the IRS in the amount of $104,782.

DUNCAN could receive a maximum of 10 years in prison and a fine of up to $500,000. Sentencing is scheduled for June 19, 2003, at 9:30a.m., before United States District Judge Charles A. Pannell, Jr .

This case was investigated by Special Agents of the Criminal Investigation Command of the United States Army, and the Internal Revenue Service-Criminal Investigation Division.

Assistant United States Attorney David E. McClernan is prosecuting the case.

For further information please contact William S. Duffey, Jr., United States Attorney or F. Gentry Shelnutt, Chief, Criminal Division, through Patrick Crosby, Public Affairs Officer, U.S. Attorney's Office, at (404) 581-6016..The Internet address for the HomePage for the U.S. Attorney's Office for the Northern District of Georgia is www.usdoj.gov/usao/gan.