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The government awards contracts to companies with histories of misconduct such as contract fraud and environmental, ethics, and labor violations. In the absence of a centralized federal database listing instances of misconduct, the Project On Government Oversight (POGO) is providing such data. We believe that it will lead to improved contracting decisions and public access to information about how the government spends hundreds of billions of taxpayer money each year on goods and services. Report an instance of misconduct »
General Motors Corp.
U.S. v. Bealko (Metals Fraud and Kickback Scheme)
Date: 11/05/2009 (Date of Plea)
Misconduct Type: Ethics
Enforcement Agency: Justice
Contracting Party: None
Court Type: Criminal
Disposition: Pleaded Guilty
Synopsis: Daniel J. Bealko, General Motors’s former global commodity manager for lightweight metals, pleaded guilty to federal charges relating to a kickback and fraud scheme involving GM’s sale of bulk aluminum to third parties. Bealko also pleaded guilty to federal income tax evasion, admitting that he concealed from the IRS approximately $6.5 million in kickbacks. Bealko was GM’s Global Commodity manager between 1996 and December 2003, when he was entrusted with the discretionary authority to devise and implement a plan for GM to divest its extensive bulk aluminum holdings. Between mid-1998 and December 2003, Bealko received approximately $6.5 million in kickbacks for steering GM bulk aluminum sales to a Chicago area businessman who previously pleaded guilty in the case.