Fat Leonard: Malaysian jailed for US Navy corruption scandal

A Malaysian businessman has been sentenced to 15 years in jail for his role in the US Navy’s biggest corruption scandal and for skipping a previous sentencing hearing.

Leonard Glenn Francis, known as “Fat Leonard”, pleaded guilty in 2015 to bribing senior Navy officials with millions of dollars in cash, prostitutes, luxury travel and top-shelf liquor and cigars.

In exchange, Francis said he received classified information and was able to overcharge the Navy $35m (£27m) for his company’s services to the 7th Fleet based in the Indo-Pacific.

He had been due for sentencing in 2022 but he escaped in September that year by cutting off his ankle bracelet, and was recaptured within days.

The US Attorney’s Office said Tuesday’s sentence reflected admissions in his 2015 guilty plea, his “extensive cooperation with the government”, and his guilty plea earlier on Tuesday for failing to attend the original sentencing hearing.

The court also fined the 60-year-old $150,000 and ordered him to pay the US Navy $20m in restitution.

His company, Singapore-based Glenn Defense Marine Asia, was also sentenced on Tuesday to five years probation and was fined $36m.

US officials said the scandal had weakened public trust in some Navy leaders and its fallout will be long-felt.

Francis was arrested in California in 2013 and he pleaded guilty to bribery and fraud charges in 2015.

After his escape in September, he was recaptured days later in Venezuela while trying to get to Russia.

His case came to be known as the Fat Leonard scandal because of Francis’ rotund frame at that time.

Francis was returned to California last December under a prisoner swap between the US and Venezuela that saw Washington release an ally of Venezuelan President Nicolas Maduro in exchange for 10 American detainees.

“Leonard Francis lined his pockets with taxpayer dollars while undermining the integrity of US Naval forces,” said US Attorney Tara McGrath in a statement.

“The impact of his deceit and manipulation will be long felt, but justice has been served today,” McGrath said.

The bribery and corruption that Francis had “fostered” within the US Navy over many years was “aggravated and egregious”, but under custody, he helped investigators uncover “unprecedented levels of corruption” in the establishment, the US Attorney’s Office said.

Francis provided investigators with detailed information on hundreds of sailors, from petty officers to admirals.

“Mr. Francis’ sentencing brings closure to an expansive fraud scheme that he perpetrated against the US Navy with assistance from various Navy officials,” said Kelly Mayo, Director of the defence department’s Office of the Inspector General.

“Mr. Francis’ actions not only degraded the 7th Fleet’s readiness but shook the Fleet’s trust in its leadership who furthered his corrupt practices,” Kelly said.