Alan Hayward James, a 51-year-old former Master Sergeant of the U.S. Air Force, pleaded guilty to multiple charges including conspiracy to commit wire fraud and bribery. His actions resulted in the fraudulent inflation of IT contract costs for the U.S. Pacific Air Forces (PACAF) by at least $37 million.

James admitted in court that he and his co-conspirators used the excess funds to enrich themselves and pay bribes to a federal public official, referred to as the 'Godfather.' He has agreed to pay over $1.4 million in restitution to the U.S. Department of War.

The scheme, which lasted from April 2016 to April 2025, involved James directing co-conspirators on bid amounts to circumvent competitive bidding processes. This manipulation led to significant overpayments for IT contracts serving U.S. Air Force installations across the Pacific.

U.S. officials emphasized the serious implications of such fraudulent activities, stating that they undermine public trust and harm honest businesses. The maximum penalties for the charges include substantial prison time and fines, with a federal judge set to determine James's sentence based on various factors.

The case is being prosecuted by the Antitrust Division’s San Francisco Office and the U.S. Attorney’s Office for the District of Hawaii, with support from various investigative agencies. The Justice Department's Procurement Collusion Strike Force continues to combat antitrust crimes affecting government procurement.