From Publishers Weekly
Sternberg, who covered the Wedtech scandal for Crain's New York Business , and former Wedtech vice-president Harrison, here offer their view of the corruption exposed in the mid-'80s at a small South Bronx, N.Y., defense contractor touted as a "shining star" in President Reagan's minority business program. The wide-ranging scandal reached top administration officials, the President among them, allegedly unaware of the fraud practiced by a network of company and military officers, and New York and Washington politicians and lawyers, along with accommodating bankers and auditors. Going public illegally while still federally subsidized, Wedtech cooked the books to cover losses. To this malfeasance was added incompetence in a management and labor force unqualified to fulfill Pentagon contracts and meet schedules. The whole rotten structure collapsed in 1986 during investigation by Manhattan, Bronx and Baltimore prosecutors, resulting in conviction of the principals. Although the scope of the case requires extensive documentation, Sternberg and Harrison's indefatigable blow-by-blow account may be more than the casual reader can absorb. Photos not seen by PW.
Copyright 1989 Reed Business Information, Inc.
Copyright 1989 Reed Business Information, Inc.
From Library Journal
This book documents that gigantic fraud, Wedtech. Welbilt Corp. (later Wedtech) was hailed as a model for revitalizing areas such as the South Bronx, and its founder, John Marriotta, was called "a hero for the 80s." From 1976 to 1986 its management received Army and Navy contracts under the minority business set-aside program. Sternberg, a journalist, and Harrison, a Wedtech executive during its fall, show that in reality Wedtech could not produce, but with bribes, fraudulent accounting, a secret slush fund, and powerful political influence, Wedtech insiders including Rep. Mario Biaggi (D.-N.Y.) and others enriched themselves and pressured or hoodwinked the White House, the Pentagon, and government regulators into approving their phony projects and stock offerings. Recommended for business and political science collections.
- Ron Christenson, Gustavus Adolphus Coll., St. Peter, Minn.
Copyright 1989 Reed Business Information, Inc.
- Ron Christenson, Gustavus Adolphus Coll., St. Peter, Minn.
Copyright 1989 Reed Business Information, Inc.
