ex-rockwell official pleads guilty to fraud : defense: the manager set up a phony machine shop to win a subcontract. he then did business in a non-approved shop and pocketed the difference.

Former Rockwell International
The head of procurement pleaded guilty in the Federal Court of Los Angeles on Thursday, admitting to mailing fraud and conspiracy to collect rebates, which are related to fraud B-
1B bomber program
Rancho Palos Verdes 49-year-old Ralph afenito has admitted to secretly setting up a fake machine shop, trying to obtain a subcontract from Rockwell, who is in charge of the parts purchasing department at El Segundo.
Affinito is recognized by the United States. S.
District Judge Terry J. Hatter Jr.
He set up a fake machine shop with a friend, Ward Finch, and afinito provided Finch with information that enabled him to successfully bid for subcontracting work.
In turn, Finch subcontracted the actual work to an unapproved machine store.
According to American aides, the plan cost Rockwell more than $430,000. S. Atty. John F.
Walsh III sued the case with the help of FBI and IRS investigators.
Affinito\'s 19 people have just found a lot of guilty pleas.
Agency investigation of rebates in Defense subcontracting.
This detector is called DEFCON.
Walsh said that afenito established a fake machine store called \"lottery industry\" in 1982 with real estate agent Finch.
The prosecutor stated that Affinito had amended the file to make it appear that competitive tenders had been conducted and that, in practice, the respondent had only awarded the work at a high price.
Affinito and Finch will pay the difference between the virtual high price paid by Rockwell and the cut price.
The price charged by the actual machine store despite not being approved.
IRS investigator Carlos Torres said it could cost Rockwell \"millions of dollars\" if the plan was not found \".
FBI agent Dale Bibel said that while the painting industry did not do any work, it rented a building, got the machine, showed the time card, metal scraps scattered on the floor and temporary counterfeit employees tried to deceive Rockwell officials when they came to inspect the raffle industry.
Most DEFCON cases were prosecuted in 1986 and 1987.
The case against afenito is only now resolved because it has a complex procedural history, Walsh said.
Initially, afenito was tried on 1987 on charges of accusing him of carrying out a lottery industry plan and a separate rebate plan at Hughes Aircraft.
He was acquitted on Hughes\'s charges but convicted of drawing lots.
However, just a few weeks after the trial, the United StatesS.
The Supreme Court issued an opinion that overturned some emails.
Fraud convictions, including afenito.