Bribery Scheme Sentences Pair to Prison

Two individuals, former contractor Scott B. Miserendino Sr. and co-founder Timothy S. Miller, were sentenced to prison for their roles in a scheme to bribe and provide illegal gratuities to public officials to secure lucrative military contracts in Virginia.

According to the U.S. Attorney’s Office for the Eastern District of Virginia, Miserendino and Miller, co-founders of a Chesapeake, Virginia, government contracting company, were involved in a bribery scheme that spanned five years and resulted in the award of millions of dollars in military contracts.

The scheme, which involved multiple co-conspirators and companies, saw Miserendino and Miller receive over $265,000 in cash and other items of value in exchange for official acts. The pair solicited cash from co-conspirators, including a $50,000 cash payment from Miller and his business partner, Dwayne A. Hardman, to influence the award of government contracts.

Miserendino was sentenced to 96 months in prison and ordered to forfeit $212,000, while Miller was sentenced to 24 months in prison, ordered to forfeit $167,000, and fined $25,000. The pair’s scheme was uncovered after an investigation by the FBI, Naval Criminal Investigative Service (NCIS), and Defense Criminal Investigative Service (DCIS).

As part of the scheme, Miserendino and Toy, the former Afloat Programs Manager for the N6 Command, Control, Communication, and Computer Systems Directorate, accepted a vacation rental, laptop computers, flat screen televisions, a football helmet signed by Troy Aikman, a wine refrigerator and softball bats in exchange for official acts. Miller also admitted to directing the creation of a false promissory note disguising the illegal gratuities as a personal loan to another individual.

The investigation and prosecution of the bribery scheme involved the FBI, NCIS, and DCIS, with Assistant Attorney General Leslie R. Caldwell and U.S. Attorney Dana J. Boente making the announcement. United States District Judge Rebecca Beach Smith imposed the sentences.

The bribery scheme was just one of several cases connected to the award of military contracts. Earlier this year, five other individuals pleaded guilty and were sentenced in connection with the scheme. They include:

Toy, who pleaded guilty to bribery and was sentenced to eight years in prison and ordered to forfeit $100,000;

Hardman, who pleaded guilty to bribery and was sentenced to eight years in prison and ordered to forfeit $144,000;

Michael P. McPhail, who pleaded guilty to conspiracy to commit bribery and was sentenced to three years in prison and ordered to forfeit $57,000;

Roderic J. Smith, who pleaded guilty to conspiracy to commit bribery and was sentenced to four years in prison and ordered to forfeit $175,000.

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