Former Army Officer Sentenced for Criminal Conflict of Interest

TACOMA, WA – Harold L. Broek, 49, a retired Lieutenant Colonel who once oversaw contracting in Iraq, walked away with a lenient sentence of three years probation, including 60 days of home detention and 40 hours of community service, after admitting to a criminal conflict of interest. U.S. District Judge Benjamin H. Settle also ordered Broek to pay $52,400 in restitution. The sentencing, announced by U.S. Attorney Jenny A. Durkan, comes after Broek pleaded guilty on July 23, 2013.

Broek, formerly Chief of Contracting at the Tikrit Regional Contracting Center, exploited his authority and knowledge of government contracting to enrich himself at the expense of the United States. Records reveal a calculated scheme involving Rohit Goel and Avalon International Limited. Before departing Iraq in 2007, Broek directed his family in Washington State to establish Global Motion – a company specifically designed to siphon profits from contracts he awarded to Goel and Avalon.

The arrangement was simple: Goel would receive U.S. government contracts and then subcontract portions of that work to Broek’s newly formed company, Global Motion. Goel agreed to pay Broek’s company 30% of the profit and provide upfront funding for contract expenditures. Broek didn’t just passively benefit; he actively participated in manipulating the system, even while still stationed in Iraq. In July 2007, he signed a waiver shortening the deadline for a line-of-sight radio contract, effectively eliminating competition for Avalon.

Shortly after, a $162,151 contract for those very radios was awarded to Avalon. Goel then immediately subcontracted the work to Global Motion. Avalon fronted $99,978 to Broek’s company, which spent $58,733 on the radios and shipped them to Iraq. Global Motion pocketed the remaining $41,245, securing a $29,871.90 profit on that single deal. Over 2007 and 2008, Global Motion amassed a total profit of $52,400.16 – the full amount Broek is now ordered to repay.

Federal prosecutors argued that Broek’s unique position and relationship with Goel were critical to the scheme. “Only LTC Broek had the contact with, experience with, and relationship with Rohit Goel to start or suggest a new business relationship,” court documents stated. They pointedly questioned why Avalon would contract with a newly formed company with no prior experience, concluding that Broek’s influence was the sole reason. The arrangement “stinks of fraud, corruption, and conflict.”

The investigation was led by the Special Inspector General for Iraq Reconstruction. While Broek avoided prison time, the case serves as a stark reminder of the potential for corruption within government contracting, even – and perhaps especially – in war zones. The lenient sentence is likely to draw scrutiny from those who believe military personnel exploiting conflict for personal gain deserve harsher penalties.