A former high-ranking official in the U.S. Air Force has been sentenced to 14 months in federal prison for his role in a procurement scheme that involved stealing from charities and using his position to gain a competitive advantage for corporate defense contractors.
James E. Podolske Jr., 59, of Panama City, Florida, was sentenced by Chief District Judge William C. Griesbach on April 19, 2017, for violating Title 18 United States Code 1343, wire fraud, and the Procurement Integrity Act contrary to Title 41 United States Code, Section 2102(a).
Podolske Jr. was ordered to pay a $5,000 fine and almost $50,000 in restitution to the charities from whom he stole. He also acknowledged that he used his position as Chief of Air Force Fire Services to defraud approximately 25 business entities or individuals out of tens of thousands of dollars per year intended for charity.
According to court documents, Podolske Jr. organized an awards banquet and ‘charity’ golf outing to coincide with a conference sponsored by the International Association of Fire Chiefs. He admitted that he actively solicited donations for his golf outing from contractors and subcontractors who sought to do business with the Air Force and Department of Defense, including several in the Eastern District of Wisconsin.
Many of the donations were forwarded to charities as intended, but many were deposited in Podolske Jr.’s personal bank account. He acknowledged using these charitable donations for his personal expenses, including to pay off credit card debt, pay for vacations, and for gambling at Gulf Shore casinos.
Chief District Judge William C. Griesbach described Podolske’s crimes as ‘a very serious breach’ of the public trust placed in him as the Air Force Fire Chief and as a government employee. He noted that no one but Podolske was responsible for his ‘tragic downfall.’
The case was investigated by the U.S. Air Force Office of Special Investigations, the Federal Bureau of Investigation, the Defense Criminal Investigation Service, and the Naval Criminal Investigation Service. The case was prosecuted by Assistant United States Attorney Daniel R. Humble.
Related Federal Cases
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- Stanley P. Phillips Sentenced to Nine Years for Wire Fraud, Dothan … · Wisconsin
- Donald Ray Babb, $18M Wire Fraud, Florida 2013 · Wisconsin
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Key Facts
- State: Wisconsin
- Category: Public Corruption|White Collar Crime
- Source: DOJ Press Release â†â€â€
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