Sessions to Hold Hearing on the Department of Defense’s Fraud Risk Management

WASHINGTON—Subcommittee on Government Operations Chairman Pete Sessions (R-Texas) today announced a hearing on “Safeguarding Procurement: Examining Fraud Risk Management in the Department of Defense.” At the hearing, members will examine how the Department of Defense’s (DOD) discretionary spending and long-term ineffective fraud risk management have cost the agency millions in taxpayer funds. The DOD is more susceptible to fraud because of its reliance on government contractors to conduct work and manage assets. The panel will investigate procurement fraud schemes and examine how much money the DOD could save if fraud is prevented. 

 
“Seventy-one percent of the DOD spending went to government contracts, and the Department accounts for nearly half of discretionary spending. For years, DOD has not been able to account for how much money has been spent or where its assets are held. The American people deserve to know how the DOD is spending their tax dollars and certainty that fraud in government agencies can be prevented. As Secretary Hegseth is taking action to address this problem, this hearing will identify gaps in how the DOD manages risk that may lead to fraud and examine ways to save millions by preventing fraud,” said Subcommittee Chairman Sessions.  

WHAT: Hearing on “Safeguarding Procurement: Examining Fraud Risk Management in the Department of Defense” 
 
DATE: Wednesday, June 4 
 
TIME: 10:00 a.m. ET 
 
LOCATION: 2247 Rayburn House Office Building  
 
WITNESSES: 

• Kelly P. Mayo, Deputy Inspector General for Investigations and Director of Defense Criminal Investigative Services, DOD Office of Inspector General 
   

• Seto Bagdoyen, Director, Forensic Audits and Investigative Services, U.S. Government Accountability Office 
   

• Additional witnesses to be determined. 

 
WATCH: The hearing will be livestreamed here.