2 Executives Sentenced for Defrauding Military
Two former officials of a Corona firm that made electrical equipment for the military were sentenced Thursday to four months in a halfway house and four months under home detention for ordering employees to bypass quality control tests.
Timothy K. Aiu, 41, of Chino Hills and his brother, Ernest W. Aiu, 40, of Hacienda Heights, also were ordered to pay nearly $200,000 in restitution.
The brothers pleaded guilty earlier this year to felony charges of conspiracy, mail fraud and making false statements to the Defense Department.
Timothy Aiu was general manager and Ernest Aiu oversaw production and testing for Transchem Inc., which made power supply devices used in Army, Navy and Air Force missiles and aircraft. The company, a division of Jetronics Industries of Philadelphia, is bankrupt, prosecutors said.
In sentencing the two men, U.S. District Judge J. Spencer Letts noted that they were following practices in place before they joined the company.
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