In 1994, under the direct supervision of David G. Webb, Photogrammetric Data Services (PDS) began an illegal scheme which sought to exploit federal agencies and taxpayer dollars in order to generate unwarranted profits. Photogrammetric Data Services is a Virginian corporation that subcontracted for firms working for the Virginia Department of transportation (VDT). From 1994-1999, their job was to perform preliminary engineering work for highway developments by preparing aerial and ground surveys using topographic maps. During this time period, Webb worked as a manager in charge of billing and timesheets. At the time, The VDT paid its contractors according to an estimation of the number of hours they would work to finish a project. Each contractor was responsible for submitting the estimated number of hours they would work and could only receive money up to that limit. Any hours that were worked beyond their estimations had to be documented and approved by VDT in orde!.
r to receive payment. .
From 1994-1999, Webb realized that by finishing a project under the limit of hours approved resulted in "leaving money on the table." To benefit fully from the payment allocation, Webb manipulated the timesheets and invoices that were sent to the VDT. He inflated them close to the maximum number of hours pre-approved for billing. VDT would then pay PDS an amount in excess of what was really deserved. This is the action that led to the indictment in December 1999 of both Webb and PDS on highway project fraud, in violation of 18 U.S.C.A. 1020.
Facts:.
In late 1997, Virginian law enforcement received information from a PDS employee about the fraudulent behavior that PDS had been engaging in for several years. For more than a year, the FBI and state law enforcement engaged in a thorough investigation of the PDS practices. With enough evidence to prove probable cause from recordings of incriminating statements made by Webb and information received from the PDS employee acting a government informant, federal agents began action under a search warrant on January 20, 1999.
