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Federal grand jury indicts former GSA official on charges of fraud | Federal grand jury indicts former GSA official on charges of fraud |
(35 minutes later) | |
A federal grand jury on Thursday indicted a former government official who was at the center of the General Services Administration’s Las Vegas conference scandal on five counts of fraud. | |
Prosecutors from the U.S. attorney’s office for the Northern District of California said former GSA Western Regions Commissioner Jeffrey E. Neely fraudulently sought reimbursement for personal travel and expenses by submitting false claims. | |
Only two counts relate to the Las Vegas conference. The others are linked to travel to Long Beach, Calif, Guam and Saipan. | |
The indictment alleges that Neely, 59, of Garnerville, Nev., also lied when GSA employees questioned him about the spending, saying it was for government business. | The indictment alleges that Neely, 59, of Garnerville, Nev., also lied when GSA employees questioned him about the spending, saying it was for government business. |
Details of the lavish Las Vegas conference surfaced in a 2012 inspector general’s report that found Neely had organized a training event costing $800,000 for 300 employees. | |
GSA placed Neely on administrative leave in April 2012. He left the agency the next month. | |
Former GSA Administrator Martha Johnson resigned from the government after the scandal emerged in April 2012, and two of her top deputies were fired that month as well. | |
Neely invoked the Fifth Amendment when called to testify before a House oversight committee in 2012. | |
Neely is expected to make his first court appearance on Oct. 20. If convicted, he faces up to five years in prison and a fine of $250,000 for each violation. | |