The president of a Long Island company on the federal list of barred contractors was sentenced Friday to 26 months in prison after he sold aviation parts through shell companies to the Defense Department, authorities said.
At U.S. District Court in Central Islip, Paul Skiscim, 63, was also ordered to pay about $1 million in restitution and penalties for defrauding the government, according to the U.S. Attorney for the Eastern District, which covers Long Island.
Skiscim pleaded guilty last September to fraud involving airplane parts in interstate commerce by using shell companies to supply $2.8 million in parts to get around the ban against him and his company, Aerospec Inc. in Kings Park.
“He accepted his responsibility,” said his attorney, Kenneth Kaplan of Manhattan.
Aerospec supplied fasteners such as rivets to the federal government from 2003 to 2013.
But according to the indictment, some of the parts were “defective and non-conforming,” meaning they did not conform to specifications in the federal contracts.
Kaplan said prosecutors later agreed the parts were “non-conforming” rather than defective.
As punishment, Skiscim was not supposed to do business with the federal government from May 2013 to February 2016, according to court records.
But starting in 2013, he bid and got contracts by setting up shell companies, some named after his relatives and fictitious people, the indictment said.
“The defendant’s scheme not only violated the law but showed a disregard for the safety of military personnel,” said Acting U.S. Attorney Bridget M. Rohde.
Skiscim, of East Northport, was also sentenced to three years of supervised release.