Defense contractors get 3 years in prison for aircraft repair scam

May 21, 2013 at 4:17 PM
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SAN DIEGO, May 21 (UPI) -- Two California defense contractors were sent to federal prison for receiving payments for repairs to military aircraft that wasn't done.

The contractors, Robert Ehnow and Joanne Loehr, each received three-year prison terms Monday, the Los Angeles Times reported Tuesday.

They had been convicted of bribing Navy officials with cash and gifts such as flat-screen TVs and massage chairs in exchange for billing for millions of dollars in payments for work that wasn't actually done on planes at the Fleet Readiness Center in San Diego.

Prosecutors said the costs of the bribes were hidden within bills submitted to the Navy.

Ehnow's company received $3 million in Navy contracts, while Loehr's received $1.8 million, prosecutors said.

Seven other people also were snared in the scheme. Three other contractors have each been sentenced to 18 months in prison, while two former civilians Navy employees were sentenced to 31 and 40 months. Two other civilian Navy workers received probation.

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