Three Sentenced for Roles in 9/11 Pentagon Fraud Case

United States Attorney Mary Beth Buchanan announced today, April 17, 2009, the sentencing of three defendants for fraud in connection with construction projects including PNC Park, the Petersen Events Center at the University of Pittsburgh, and the reconstruction of the Pentagon after the 9/11 terrorist attack.

The three included Thomas J. Cousar, the former president of Capco Construction Company, a defunct McKeesport, Pennsylvania, painting and interior construction contractor, Catherine L. Bradica, the company’s former office manager, and Daniel D. Monte, a Capco supervisor during the Pentagon job.  Cousar was sentenced to 63 months in prison, Bradica to 41 months and Monte 21 months. Each was also sentenced to three years supervision following release from prison, and was ordered to pay restitution.  Cousar and Bradica were ordered to pay a joint total of $1.1 million restitution for the three projects combined; Monte was ordered to pay restitution jointly with Cousar and Bradica, but relating only to the Pentagon project in the amount of $800,000. 

The sentences were imposed by United States District Judge Gary L. Lancaster. Cousar, age 55, formerly resided in Monroeville, Pennsylvania.  Bradica, age 56, formerly resided in Irwin, Pennsylvania.  Both currently reside in Alexandria, Virginia.  Monte, age 64, resides in Clifton, Virginia.

According to information presented to the court by Assistant United States Attorneys James Y. Garrett and Scott W. Brady, the defendants defrauded the United States and the other victims by submitting false time and material bills for work performed by Capco.  The false bills overstated actual hours devoted to projects, and at the Pentagon also overstated actual materials utilized.  In some instances, the falsely billed labor hours and materials represented work by Capco in 2002 performed instead on other projects, including a commercial complex adjacent to the Capco office in McKeesport constructed to house businesses to be owned by Cousar and Bradica.

At the Pentagon, Capco was permitted to bill on a time and material basis rather than under a fixed price between September 2001, and May 2002, because of the emergency circumstances that existed following the terrorist attack.  Special circumstances affecting the PNC Park and Petersen Events Center projects also triggered limited use of time and materials billing on those jobs, which the defendants exploited during the fraudulent scheme.

In imposing the sentences, Judge Lancaster observed that the terms of imprisonment handed down reflected the operation by the defendants of a large scale, ongoing scheme that caused substantial loss, principally to the United States in the aftermath of the terrorist attacks.

Ms. Buchanan commended the Defense Criminal Investigative Service, the United States Postal Inspection Service, the Internal Revenue Service/Criminal Investigation, the Department of Labor/Office of Inspector General, and the Federal Bureau of Investigation for the investigation leading to the successful prosecution of Cousar, Bradica and Monte.