WASHINGTON (CNN) - Federal agents arrested a District of Columbia government official and a Washington-area businessman on conspiracy charges Thursday and searched the offices of the district's chief technology officer as part of a corruption probe.
Yusuf Acar, a contracting officer for Washington's city government, and Sushil Bansal, a former city employee, are accused of swindling the city out of several million dollars by inflating purchase orders and billing the city for work by non-existent employees of Bansal's companies. They made initial appearances in federal court on Thursday.
Both are charged with conspiracy to commit bribery and money laundering, while Acar faces separate charges of wire fraud and conflict of interest, according to court papers.
As part of the probe, agents raided the office of Washington's chief technology officer, the agency responsible for overseeing the city's telecommunications infrastructure. The raid came a week after the Obama administration named the office's former director, Vivek Kundra, as the White House chief information officer, but a law enforcement source with knowledge of the investigation told CNN that Kundra is not involved in the case.
The White House called the probe "a serious matter," but referred further questions to the Justice Department.
Updated: 6:22 p.m.
– CNN's Carol Cratty and Terry Frieden contributed to this report.
CNN, I use to like your program but I'm starting to dislike your program. The news report above is nothing. Nothing is being said. I read it and was thinking "huh, what, who, huh"!!, because it's stupid journalism!! So conservative. You people are always starting stupid rumors to demean the leader of the free world. President OBAMA is doing a great job and the reason, if what the guy above said is true, that President Obama hasnt filled every seat in his cabinet in a day like Bush is because he is carefully screening everybody. The Bush administration didnt care who they picked and thats why the US is
F!@#ed up now!!!
No "neocons" screaming in 3..2..1
No liberals defending Obama in 3..2..1. Why??? Nobody seems to know what the heck is going on!!! Once we know, the screaming and defending may begin! Until then... PATIENCE PEOPLE!!
ROFLMAOOOOOOOOOOOOOOOOOOOOOOO!!!!!! This is turning into a Saturday Night Live skit!!!!!!!
OMG!!!!!! not obama 2
Hey Jonathon Burton,
You would be all over this if it was connected to a Republican, admit it. I can admit that I would rather see negative things about the Democrats, because I disagree with nearly everything they do.
I've lost count how many is that.
The only people Obama knows are losers
Quit picking on the community organizer..
demwit March 12th, 2009 12:15 pm ET
I sure hope Obama doesn't name me as one of his appointments..
Why? What have you done or not done that would matter?
Care to expand on that? (Just kidding)
VERY Irresponsible and unprofessional reporting and editing.
"The investigation is related to allegations of corruption, one source said, but at this point is not targeting Kundra."
Even Foxnews put that it is NOT targeting Kundra...looks like some people were a little premature in their negative remarks.
listen to all of the attacks upon poor liberal CNN. Are you people for real? I would honestly think that people want the truth, unbiased journalism...CNN is poor at this, however, they appear to be reporting faxes as they have them on this story. I have read other versions and they are similar. sensitive Obama supporters over here just can't take a little criticism. very sad, very sad indeed
The neocons should be quick to remember their rush to judgment over the the woman who carved a backwards "B" in her face to try to start a racial incident in which McCain would have profited.
If the facts prove someone acted illegally, I'm all for severe punishment. NOT before.
"She refused to indicate whether Kundra is a target of the investigation. "
Translation: Kundra is in it up to his bull she-it brown eyes...
The Dems seem to be party of liars, cheaters, and swindlers. I am not shocked at all that every appointment has had problems so far, Obama's cabinet being sequestered and investigated. People he supports being cheats and murderers (Ayres, Kennedy). Its despicable, please get this guy out, or at least limit him to one disruptive term.
The "you know what" is called inexperience and bad policy.
He was probably helping his Indian pals in Mumbai find American targets
Hey obambi 2012 ....He heheeeeeee he he eheee Who you gonna believe Obambi or your eye's . He he he heeee
Are you really going to compare this to the last eight years? Really? You [r]'s are amazing. You got the elected republican officals bending over for a drug addict radio maggot. Palin and her "Leave my family out of it unless it is positive and I can use it for political gain" chant. Poor Steele, the only one of you that seems like he could possess some sembelance of sanity, is about to be pushed out. Other representatives [r] saying that they are the party of the insurgency...Then Chuck Norris...
FYI clowns: You are not representing some charged up, moral majority. You represent a dying fraction of America. When you pull this "Just Say No" scam you are going against the will of American people. If there were enough of you to matter, our dead country would be being run into the ground by McCain.
ENOUGH ALREADY !!
Obama and his crooked pals have to go.
Throw the bum OUT
This is the change we are going to have to believe in for the next 4 yrs. great.
How many poeple have now been disgraced by the Obama administration for tax problems and other issues????
I'm seeing exactly what the Attorney Gen. meant by his statement regarding race in this country. Their are some so-called patriots that would wish this country would fail rather than pull together and correct the many things that has gone wrong. Stop useing codes and buzz words to get across their twisted idiology. Hatred is a learned behavior and is not inherited. Let's be true to our feeling and say that the OBAMA admenatration is doomed to fail at least that's your wish.
Oh even better!!!!
If you don't like the way things are going here in the US.. Move to Texas and John Chuck Norris in his bid to succeed from the Union.. Than you can do things your way. Otherwise the people have spoken and we have to move on. That is democracy right.. What do I know. I just live work and vote here!
To Jackie in Dallas
Sounds like you are one of the BO kool aid group. Okay to bash any party but the DemoRetards.
Get a job, stop living off those of us who are employed!
Anonymous comments are so great CNN!
Sorry, I'm with me on this one. Considering the last 8 years, I'm sorry but this is nothing.
Though its starting to get very aggravating and I wish Obama would start checking the backgrounds of these people further before nominating them.
How is this NOT news? Yet ANOTHER Obama appointee crashes and burns, this time arrests are made! How has his first 50 days NOT been a complete and total failure?!
With every new story, the Ozombies that post here are sounding even more zombie-esque "NO CRITICISM....MUST....LOVE.....OBAMA....GAAAAHHHHHH!!!!"