Superseding Indictment Filed in Wisconsin Fraud and Money Laundering Scheme Involving Over $200 Million in Government Contracts
On May 1, 2018, a superseding indictment was filed in U.S. District Court, Milwaukee, Wisconsin, which brought additional charges of mail fraud against Brian Ganos and a charge of misprision of a felony against Mark Spindler. A company named Nuvo Construction (Nuvo) was added to the indictment and charged with conspiracy, wire fraud, mail fraud, and aiding and abetting. The original indictment was filed on April 3, 2018.
The indictment alleges that, to qualify for Federal programs, Ganos operated and controlled companies that had straw owners, which gave him access to Government contracts for which he was not qualified. Nuvo was certified as a Disadvantaged Business Enterprise (DBE) and listed as owned and operated by Jorge Lopez; however, Ganos ran and controlled the company. Ganos used Nuvo’s supposed DBE status to secure Government contracts.
The indictment also alleges that Ganos conspired with Nuvo and others to conceal the nature, source, and location of the scheme’s proceeds. In consultation with Spindler, Ganos and others directed bookkeeping, accounting, and payroll procedures that facilitated and concealed the scheme.
DOT-OIG is conducting this investigation with the FBI, Department of Veteran Affairs OIG, Small Business Administration OIG, General Services Administration OIG, Army Criminal Investigation Division, and Department of Defense OIG.
Note: Indictments, informations, and criminal complaints are only accusations by the Government. All defendants are presumed innocent unless and until proven guilty.