Bakersfield Defense Contractor Pleads Guilty To Fraud Charges
FRESNO, Calif. —Alejandro Villarreal, 32, of Bakersfield, pleaded guilty today to two counts of wire fraud for a scheme to defraud the U.S. Department of Defense, United States Attorney Benjamin B. Wagner announced.
According to court documents, Villarreal was the president and manager of Oliver Supplies. From August 2009 until September 2011, Villarreal executed a scheme to defraud the U.S. Department of Defense by substituting “similar” goods that were inferior or were not manufactured by government approved suppliers. He did this in approximately 16 contracts awarded to Oliver Supplies. Villarreal admitted that he billed approximately $251,214 on these contracts, of which approximately $224,496 was actually paid.
Villarreal is scheduled to be sentenced on September 15, 2014. He faces a maximum statutory penalty of 20 years in prison on each count and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.