Texas Contractor Convicted in $240M DBE Fraud Scheme to Secure Set-Aside Federal Contracts
Texas Contractor Convicted in $240M DBE Fraud Scheme to Secure Set-Aside Federal Contracts
Abstract
A Texas contractor faces federal prison time and fines for his role in a long-running scheme to fraudulently secure government contracts by posing as a disabled veteran-owned business. Michael Angelo Padron, along with his co-defendant and business partner Michael Wibracht, were accused of misrepresenting four general construction companies between 1998 and 2018. Prosecutors claimed that the scheme totaled more than $240 million. Padron is scheduled to be sentenced. He faces a maximum penalty of five years in prison. A federal judge will determine any sentence after considering any sentence.Padron's attorneys told ENR they plan to appeal the verdict. He will be sentenced on October 19. The judge will decide any sentences after considering sentencing guidelines and other statutory factors.
