Irvine Executive Pleads Guilty in Defense Fraud

The president of two Irvine-based defense firms pleaded guilty in federal court in Los Angeles Monday to submitting $53,000 in false billings to the Department of Defense

Thomas Snooks, 47, faces a maximum prison term of 15 years and a $17,000 fine when he returns Oct. 21 for sentencing by Chief U.S. District Judge Manuel L. Real.

The two companies owned by Snooks, Systems Engineering Technology Associates Corp. and Setac Inc., also were fined a total of $22,000, said Assistant U.S. Atty. David Wiechert.

The firms did up to $5 million in business per year with the government, mostly in consulting work on Navy fighter aircraft, Wiechert said.

Snooks, who lives in San Clemente, was indicted June 6 on 19 counts of mail fraud, wire fraud and submitting false claims and statements to the government. The indictment accused Snooks of bilking the Department of Defense of more than $400,000 in phony consulting fees, misappropriated sick pay and contract overruns.

Snooks agreed to plead guilty to one count each of mail fraud, wire fraud and making false statements. Wiechert said the pleas cover $53,000 of an alleged $103,000 overrun on a fixed-price contract with the Naval Surface Weapons Center in Virginia.

The money was charged to overhead claims on other contracts, the indictment stated.

The charges stemmed from an investigation by the Defense Criminal Investigative Service and Defense Contract Audit Agency.