New fraud charges filed in nuclear fiasco

Top Westinghouse exec faces trial for conspiracy

Jerry Bellune
Posted 8/26/21

A federal Grand Jury has charged a former Westinghouse senior executive with lying to investigators.

Acting US Attorney Rhett DeHart said Jeffrey Benjamin failed to truthfully report information …

This item is available in full to subscribers.

Subscribe to continue reading. Already a subscriber? Sign in

Get 50% of all subscriptions for a limited time. Subscribe today.

You can cancel anytime.
 

Please log in to continue

Log in

New fraud charges filed in nuclear fiasco

Top Westinghouse exec faces trial for conspiracy

Posted

A federal Grand Jury has charged a former Westinghouse senior executive with lying to investigators.

Acting US Attorney Rhett DeHart said Jeffrey Benjamin failed to truthfully report information regarding construction of a failed $10 billion nuclear power plant.

Benjamin served as head of Westinghouse’s new plants and major projects.

He directly supervised all new nuclear projects worldwide for Westinghouse during the failed SC Electric & Gas-Santee Cooper project.

He is charged with 16 felony counts including conspiracy, wire fraud, securities fraud and causing a publicly-traded company – Lexington County-based SCANA, owner of SCE&G – to keep a false record.

He faces 20 years in prison and a $5 million fines.

He is the 4th executive to be charged in the investigation.

Former Westinghouse Vice President Carl Churchman and SCANA CEO Kevin Marsh and VP Stephen Byrne have pleaded guilty to similar felony charges.

The nuclear fraud cost SCE&G investors and ratepayers billions of dollars.

The indictment alleges:

• Benjamin was personally involved in communications between Westinghouse and its owners, SCANA and Santee Cooper, regarding the status of the nuclear project.

• In 2016 and 2017, when Westinghouse had direct control over the construction and schedule of the project, Benjamin received information that the units were years behind schedule and billions of dollars over budget.

• From September 2016 to March 2017, Benjamin assured the owners that the units would be completed on schedule and took active steps to conceal damaging information.

• During this time, the owners paid Westinghouse over $600 million to build the 2 nuclear reactors, both of which were ultimately abandoned.

“Our commitment to investigate and prosecute the VC Summer nuclear debacle has never wavered,” DeHart said.

“While the indictment – and the allegations contained within – speak for itself, it is further proof of our commitment to seek justice for South Carolina ratepayers and all others affected.”

“This indictment with its attendant allegations and charges is another step toward justice for all those responsible for the fiasco,” said FBI Special Agent in Charge Susan Ferensic.

“The FBI has devoted substantial resources to investigating this matter and will continue to work with the United States Attorney’s Office, the South Carolina State Law Enforcement Division, and the South Carolina Attorney General’s Office to find facts and prove criminal conduct.”

Comments

No comments on this item Please log in to comment by clicking here