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Three Massachusetts Men Indicted for DBE Fraud on FAA Funded Residential Soundproofing Contracts

On May 31, 2011, Robert Dickerson, Dennis Degrazia, and David Hebert were indicted in U.S. District Court, Boston, Massachusetts, for conspiring to impede, impair, and obstruct the U.S. Department of Transportation's (DOT's) Disadvantaged Business Enterprise (DBE) program.  The program requires that DBEs receive approximately 10% of DOT funding provided to state and local governments, ensuring that DBEs get a share of federally-funded highway and transit projects.

Mr. Dickerson is the sole proprietor of Woodchuck's Building and home Center (Woodchuck's), a state certified DBE.  Mr. Degrazia and Mr. Hebert are partial owners of U.S. Window and Door Construction, Inc., a company that was awarded FAA-funded Residential Soundproofing Improvement Program contracts by the Massachusetts Port Authority (Massport).

For approximately 10 years Mr. Degrazia and Mr. Hebert indicated that Mr. Dickerson, doing business as Woodchuck's, was a supplier of windows and doors and eligible towards its DBE goal on each contract when all parties knew that Mr. Dickerson was merely a pass-through and would not actually be supplying any materials, incurring any expenses or performing any work. The defendants submitted false documents to Massport with Mr. Dickerson's concurrence to conceal Mr. Dickerson's lack of activity and to give the appearance that the DBE goal had been met. Mr. Dickerson was paid a fee of up to 4% of the material costs for his role in the conspiracy.

Note:  Indictments, informations, and criminal complaints are only accusations by the Government.  All defendants are presumed innocent unless and until proven guilty.