The Upper Marlboro-based Bechdon Company has agreed to pay the federal government $1 million for crimes relating to overbilling labor hours for employees working on a National Security Agency contract.
According to a press release from the United States Department of Justice, the penalty is part of a non-prosecution agreement with the government as a result of Bechdon cooperating with the investigation of the overbilling scheme. Also as part of the agreement, the current president of Bechdon will resign at the end of this year, and the company will sell the majority of its business operations.
According to the testimony at the trial, Bechdon overbilled NSA for work performed during the late 1980s or early 1990s. The company manufactured metal, plastic and sheet metal parts and other specialty items for customers, including NSA.
Former owner and president William Turley and his son, Donald Turley, who oversaw the NSA contract, were both sentenced to 18 months in prison after pleading guilty to fraudulently billing NSA and subscribing to a false tax return.
William Turley’s daughter, Christina Turley Knott, a bookkeeper who prepared and submitted invoices to NSA prior to being terminated for embezzling from Bechdon, was also sentenced to 15 months after pleading guilty to the same crimes.
All three were also ordered to serve a year of home detention as part of three years of supervised release.