GSA Scandal in Perspective: What happened in Vegas

An April 2012 inspector general’s report detailed lavish and excessive spending at the General Services Administration’s 2010 Western Regions Confer...

An April 2012 inspector general’s report detailed lavish and excessive spending at the General Services Administration’s 2010 Western Regions Conference. The report found $822,000 was spent on the event, including for a mind reader, a clown and $75,000 for a bicycle-building team-building exercise. In addition, the IG found agency employees had improperly spent federal funds on catering and private parties and broke federal procurement rules in awarding contracts.

The report’s revelations led to the resignation of GSA Administrator Martha Johnson. Before resigning, Johnson fired the head of the Public Buildings Service, Bob Peck, and one of her advisers Stephen Leeds. Peck’s deputy, David Foley, who attended the conference was later placed on administrative leave.

All told, four regional officials have been placed on administrative leave, including Jeff Neely, the PBS Commissioner for Region 9, who encouraged conference planners to make the event “over the top.” The IG also recommended Neely’s case to the Justice Department for possible criminal prosecution. Read more about the Shakeup at GSA.

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