Ex-Navy officials convicted of steering contracts to business in exchange for cash, prostitutes

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A former senior Navy official is facing up to 25 years in prison after being convicted of steering contracts to a company in South Korea in exchange for cash, liquor and the services of prostitutes.

Before his conviction on Friday, Fernando Monroy, 64, had been director of operations for the Navy’s Military Sealift Command office in Busan, South Korea.

Federal prosecutors in Washington said he conspired with the owner of DK Marine, a South Korea-based company that provided services to the Navy, and the former civilian captain of a naval cargo ship.

“Monroy conspired to unlawfully provide services for the Navy ship, captained by one of [his] co-conspirators, during a December 2013 port visit in Chinhae, South Korea,” the Justice Department said in a statement. “Monroy provided a co-conspirator with confidential and other proprietary, internal U.S. Navy information.”

Monroy also repeatedly lied to agents with the Defense Criminal Investigative Service and the Naval Criminal Investigative Service during an interview in July 2019, federal prosecutors said.

He was convicted of conspiracy to commit bribery, bribery and making false statements. Monroy is scheduled to be sentenced on Nov. 18, officials said.

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