Navy Bribery Scandal: Two More Officials Investigated In Defense Contractor Scheme

Two more Navy officers are being investigated for a bribery scheme involving a defense contractor in Singapore, The Washington Post reported.

On Friday, both Vice Adm. Ted "Twig" Branch, the service's top intelligence officer, and Rear Adm. Bruce F. Loveless, the director of intelligence operations, were placed on leave according to a Navy statement. Their access to classified information was also suspended.

Both admirals are being probed in light of the September arrest of Leonard Francis, owner of Glenn Defense Marine Asia (GDMA), who allegedly bribed Navy officers with prostitutes and concert tickets in exchange for intelligence.

In addition, two Navy commanders and a senior Naval Criminal Investigative Service agent were arrested, and a captain connected to the scheme was relieved of his duties last month.

"We do believe that other naval officers will likely be implicated in this scandal," Rear Adm. John F. Kirby, the Navy's chief spokesman, said in a telephone interview with The Washington Post.

"There is no indication, nor do the allegations suggest, that in either case there was any breach of classified information," Kirby added.

However, another Navy officer who spoke on condition on anonymity said that evidence of "personal misconduct" led to the investigation of Branch and Loveless.

Neither officials have been arrested or charged with violations.

The scandal made headlines last week after Navy commander Michael Vannak Khem Misiewicz was accused of accepting bribes from Francis.

"It's pretty big when you have one person who can dictate where ships are going to go and being influenced by a contractor," said retired Rear Adm. Terry McKnight. "A lot of people are saying how could this happen?"

According to the federal complaint, Misiewicz and Francis moved vessels -- diverting aircraft carriers, destroyers and other ships -- to different Asian ports so Francis could inflate costs. As a result, the firm -- Glenn Defense Marine Asia Ltd., or GDMA -- overcharged the Navy for services it provided and created fake tariffs.

U.S. Attorney Laura Duffy said the company scammed the Navy out of $10 million in one year alone.

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