Stanley P. Phillips, Wire Fraud, Florida 2013

Florida Man Indicted for $600,000 Military Contract Scam

A Florida man has been charged with running a scheme to defraud a military sub-contractor out of over $600,000. Stanley P. Phillips, 47, of Dothan, Alabama, was indicted by a grand jury on seven counts of wire fraud in violation of Title 18, United States Code, Section 1343.

According to the indictment, Phillips used his position as the D&Z Construction/Site Manager on the WAARP Project to influence D&Z into hiring a small company called HSIII as a subcontractor. In turn, Phillips had HSIII hire a company called RGS Professional Services, Inc. (RGSPS) to ostensibly do work on behalf of HSIII on the WAARP Project. However, RGSPS was actually a nursing registry that was not capable of providing any services on the project.

Phillips did not disclose his ownership in RGSPS to HSIII, and made sure HSIII did not disclose RGSPS to D&Z. Phillips directed D&Z to pay HSIII monies which were earmarked for RGSPS, and which were ultimately used by Phillips for his personal benefit.

If convicted, Phillips faces a maximum of 20 years in prison and a fine of $250,000 or not more than twice the gross gain or loss from the offense, whichever is greater.

Phillips is scheduled for arraignment on November 20, 2013 in West Palm Beach before U.S. Magistrate Judge James M. Hopkins.

An indictment is only an accusation, and Phillips is presumed innocent until proven guilty beyond a reasonable doubt.

Source: https://www.justice.gov/usao-sdfl/pr/alabama-man-indicted-scheme-defraud-military-sub-contractor