A senior executive of a metal fabrication and manufacturing company has admitted to orchestrating a multi-year bid-rigging conspiracy that affected procurement contracts supporting U.S. military installations, generating more than $8.5 million in improperly obtained business.
Thomas C. Rollins, based in Wilmington, North Carolina, pleaded guilty on February 5 in the U.S. District Court for the Northern District of Illinois to violating Section 1 of the Sherman Act. The charge stems from his participation in a coordinated scheme to manipulate competitive bidding processes administered by the Defense Logistics Agency (DLA).
Rollins led a company that supplied maintenance, repair, and operational goods and services to military bases through DLA procurement programs. Between at least 2015 and 2022, he worked with competing firms and individuals to undermine the competitive process governing subcontract awards.
According to court filings, the conspirators predetermined which company would win particular contracts. Participants agreed in advance who would submit the lowest bid and coordinated the pricing of other submissions to ensure the designated bidder’s success. These so-called “cover” bids were structured to give the appearance of legitimate competition while effectively eliminating it.
In his plea agreement, Rollins acknowledged that approximately $8.47 million in commerce was connected to the conspiracy.
Federal officials emphasized the broader implications of the misconduct. Representatives of the Department of Justice’s Antitrust Division stated that procurement collusion not only harms taxpayers but also compromises the integrity of systems designed to support national defense. Enforcement authorities highlighted their continued focus on uncovering and prosecuting anticompetitive conduct in public contracting.
The Defense Criminal Investigative Service (DCIS), which operates as the investigative arm of the Department of Defense’s Office of Inspector General, led the investigation. Officials noted that manipulation of defense procurement processes threatens both public trust and military readiness, underscoring that contract awards must be based on fair competition and merit.
The Sherman Act offense carries a statutory maximum penalty of 10 years’ imprisonment and a $1 million criminal fine for individuals. Sentencing has not yet been scheduled; the court will determine the appropriate penalty after considering the U.S. Sentencing Guidelines and other relevant statutory factors.
The prosecution is being handled by the Antitrust Division’s Washington Criminal Section as part of the broader efforts of the Justice Department’s Procurement Collusion Strike Force (PCSF), an interagency initiative targeting antitrust crimes and related fraud in government spending programs at all levels.
Authorities also reiterated the availability of financial incentives for whistleblowers who provide original information leading to significant recoveries in antitrust and related criminal cases. Under the Antitrust Whistleblower Rewards Program, eligible individuals may receive between 15 and 30 percent of collected amounts exceeding $1 million.
The case represents another example of intensified federal enforcement against bid rigging in government procurement, particularly in sectors linked to national security and defense infrastructure.