Could corporate CEOs anywhere in the universe have a deal much sweeter than U.S. defense contractor chiefs?
The CEO at CybeCys, Inc., a Texas-based defense contractor, might quibble with that question. He isn’t feeling all that much sweetness these days. Last month, federal prosecutors announced a deal that will have this CEO and CybeCys pay over $283,000 in penalties and damages for cheating on two Covid-era federal loan programs.
The CybeCys CEO seems to have transferred hefty chunks of taxpayer dollars into his own personal investment accounts and used those dollars, prosecutors charge, to buy up “securities, exchange-traded funds, and cryptocurrency.”
Federal officials brought all sorts of firepower to bear on this case. The U.S. attorney’s office for the Eastern District of Virginia, the IRS criminal investigation office, and the Small Business Administration’s office of inspector general all had a hand in bringing CybeCys and its CEO to justice.
Need any more assurance that the feds have corporate profiteering off defense contracts under eagle-eye control? How about this: In 2023, under the terms of the 10-year-old Bipartisan Budget Act of 2013, no top exec at a U.S. defense contractor can directly pocket over $619,000 in tax dollars.
Alas, both this $619,000 annual CEO pay “cap” …read more
Source:: Institute for Policy Studies