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MoD conned into spending £1m on useless equipment

Thursday 28th November, 2019

A company chief executive has defrauded the Ministry of Defence out of more than £800,000 by selling equipment including underwater scanners that were ‘not fit for purpose’, a court heard.

The government department was persuaded to invest in precision scanning equipment from contractor Subsea Asset Location Technologies (Salt) and charter a vessel to road-test the technology.

The chief executive officer of Dorset-based Salt admitted conning the MoD into buying equipment he knew was useless, in a fraud carried out between April and December 2017.

He previously worked as a sonar engineer for the government in a laboratory. Later he set-up consultancy firm, Salt in 2009 to provide underwater scanning technology and consultancy services to the MoD.

He allegedly used bogus results from scanning equipment to convince the Government to invest, and provided "false information regarding the capability of devices being developed."

The MoD said: “We have a zero-tolerance policy towards fraud and investigate all allegations.”