U.S. Department of Justice officials said the chief executive officer (CEO) of Multinational Logistics Services (MLS) is facing a criminal charge for alleged participation in a bribery scheme.
Frank S. Rafaraci is an American citizen living abroad. Authorities cited a criminal complaint alleging that beginning in 2011, Rafaraci was involved in a scheme to bribe Navy officials, defraud the Navy using falsely inflated invoices and launder scheme proceeds via shell companies Rafaraci allegedly established in the United Arab Emirates.
“Frank Rafaraci allegedly defrauded the Navy, bribed a Navy official, and laundered money through foreign bank accounts for years,” Assistant Attorney General Kenneth A. Polite Jr., of the Justice Department’s Criminal Division, said. “The Criminal Division remains committed to combating fraud and corruption in defense contracting around the world.”
Authorities indicated Rafaraci was indicted by a grand jury in the District of Columbia on Sept. 30 and charged with one count of bribery – adding if convicted of the charge, Rafaraci faces a maximum penalty of 15 years in prison, and a federal district court judge will determine any sentence after considering the Sentencing Guidelines.
“This defendant is alleged to have engaged in a wide-ranging scheme to defraud the U.S. Navy and bribe public officials for his own gain,” Acting U.S. Attorney Channing D. Phillips of the District of Columbia said. “The U.S. Attorney’s Office will continue to pursue and hold accountable those that seek to take advantage of our military through corruption and fraud.”