SPAWAR Defendants Sentenced to Prison

SAN DIEGO, CA—United States Attorney Karen P. Hewitt announced today the sentencing of the last of seven defendants previously charged with corruption and fraud charges related to defense contracting at Space and Naval Warfare Systems Command (“SPAWAR”), a military organization based in San Diego and responsible for the development of technology for military operations worldwide.

United States District Judge Larry A. Burns today sentenced former SPAWAR Branch Head Gary Alexander to serve a custodial term of 75 months’ imprisonment and ordered him to forfeit $332,072 and to pay $171,288.41 in restitution. Judge Burns sentenced Department of Defense subcontractor Elizabeth Ramos to serve 18 months’ imprisonment and ordered her to pay $123,448.41 in restitution. Ramos’ spouse, Louis Williams, was sentenced to serve one year and one day in prison. All three had pled guilty last year to defrauding the United States Navy in connection with the award of several defense subcontracts. In addition, Alexander had pled guilty to filing false tax returns.

According to court records, federal employees Gary Alexander and his wife, Kelly Alexander, worked at SPAWAR and for almost eight years accepted cash bribes and other items of value from individuals in exchange for employment as government subcontractors. Gary Alexander used his influence at SPAWAR to ensure that Ramos and Williams, owners of Technical Logistics Corporation (“TLC”), a company operating in National City, received $4.8 million in military subcontracts. In return, he demanded and received cash bribes equaling a percentage of Ramos’ salary. Similarly, Alexander demanded and received cash bribes from Pamela Banks, owner of Advance Technical Solutions, in return for $400,000 in subcontracts awarded to her company. Banks also pled guilty to paying bribes to the Alexanders. From 1999 through 2008, when they were arrested, Gary and Kelly Alexander were paid over $400,000 in cash bribes and given items of value, such as a $5,600 Rolex watch, expensive dinners, and vacations.

Court records reveal that the subcontracts were arranged through Jackie Godwin, a former Vice President of Kratos Defense Security Solutions, a nationwide defense prime contractor based in San Diego. Godwin pled guilty and admitted to hiring the co-conspirators as requested by Alexander. In addition to the bribery scheme, plea agreements disclose that Alexander directed both Ramos and Godwin to provide government-funded jobs to Alexander’s mistress, Sinthia Nares, who pled guilty to lying to government investigators. In addition, Alexander also directed Godwin and Ramos to buy and charge to the government $14,000 in high-tech audio-visual equipment (televisions, home theater systems, and BluRay disc players), which were ultimately seized from the residences of Alexander, Godwin, and Nares. Gary and Kelly Alexander were fired from their jobs at SPAWAR, and Godwin and Nares were fired from Kratos.

On April 6, 2009, Judge Burns sentenced Banks, who had pled guilty to bribing Alexander, to serve 24 months in federal prison, but recently released her after she served approximately one year in custody in recognition of her cooperation in the investigation. On February 22, 2010, Kelly Alexander was sentenced to serve 18 months’ imprisonment and ordered to pay $36,676 in restitution, based on her October 19, 2009 guilty plea to wire fraud and filing a false tax return.

On April 6, 2010, Jackie Godwin was sentenced to serve a custodial term of 12 months, to be followed by six months in a half-way house, and ordered to pay $137,763.75 in restitution based on his November 19, 2009 guilty plea to participating in the fraudulent scheme. On March 15, 2010, Judge Burns sentenced Nares to serve three months in a half-way house as a condition of probation based on her November 10, 2009 guilty plea to making a false statement regarding her participation in the corrupt scheme and receiving government funded jobs at both TLC and Kratos.

The investigation and prosecution arose out of an 18-month investigation conducted by agents from the Federal Bureau of Investigation, the Defense Criminal Investigative Service, the Naval Criminal Investigative Service, and the Internal Revenue Service, Criminal Investigation. United States Attorney Hewitt commended the outstanding efforts of the agents in bringing this case to a successful conclusion.

DEFENDANTS Case Number: 09cr2489LAB

• GARY ALEXANDER Age: 50 San Diego, California
• KELLY ALEXANDER Age: 47 San Diego, California
• JACKIE GODWIN Age: 68 Attapulgus, Georgia
• ELIZABETH RAMOS Age: 43 Chula Vista, California
• LOUIS WILLIAMS Age: 44 Chula Vista, California
• SINTHIANARES Age: 44 San Diego, California

Case No. 08cr2367-LAB
PAMELA BANKS Age: 45 San Diego, CA

SUMMARY OF CHARGES

• Title 18, United States Code, Section 1343 – Wire fraud
• Title 18, United States Code, Section 201 – Bribery
• Title 18, United States Code, Section 1001 – False Statements
• Title 26, United States Code, Section 7206 – False Tax Returns
• Criminal Forfeiture