Former US air force master sergeant pleads guilty to defrauding military out of $37m

Alan Hayward James, a former Air Force master sergeant from Texas, pleaded guilty to defrauding the military of $37 million by rigging bids on IT contracts with the Pentagon. James, who called himself "Al Capone" during the scheme, inflated contract costs over a nine-year period beginning in April 2016, then distributed the excess funds to himself, family members, co-conspirators, and an individual he referred to as "Godfather." The guilty plea resolves one of the largest contract fraud cases involving a military insider, exposing vulnerabilities in the Pentagon's procurement process for IT services. The case underscores how individuals with access to bidding systems and contract authority can exploit that position for personal enrichment at taxpayer expense. James faces sentencing based on the magnitude of the fraud and the scope of his criminal enterprise.