DPL-Surveillance-Equipment.com vs US Navy

David vs Goliath

In this blog I'm going to expose the level of competency in one of our most highly-regarded gov. agencies: US Navy - Fisc Regional Contracts, San Diego, Ca.

First, I'll provide a little background then I'll just present the facts and let you draw your own conclusions.

I was contacted by the US Navy - Fisc Regional Contracts, San Diego, Ca. to provide 10 walk-through metal detectors to them for an event. This was a formal bid and award deal. I submitted an attractive offer and they accepted it. However, to make a long story short I was contacted by J. Johnson to provide my services for other events as well. He instructed me that I would not have to submit a bid for these particular situations because if we could keep the price under $2,500.00 he could get permission to authorize payment which he did.

However, I was contacted in mid september (2005) to provide my services again. The difference this time being that the price I quoted (which he accepted) was $6,400.00

Read for yourself: (I also, submitted this same info. to the GAO: General Accounting Office so that they can conduct their own investigation into this as well. Tue, 11 Oct 2005 17:02:32 -0400)

My company had a rental contract to deliver 9 walk-through metal detectors to:US
Navy-FISC Regional Contracts (619) 307-2389

This is the second time they told me that they wanted me to set-aside walk-through
metal detectors for them only to cancel without paying for the units.
This particular incident involves them renting 9 units for 2 days @
$350.00 per unit plus a $100.00 set-up fee. The total costs for them
even if cancelled is $6,400.00. I got a commitment each time from J.
Johnson (619) 307-2389 to set-aside the units for them with the
condition that there was a commitment to pay for them even if not
used. He reassured me each time that he understood and accepted the
contract.

I'll provide details of how much was owed, dates, how many units, etc.
for the first incident later.

But, this has me really angry at how the Navy can tell me to just eat
the cost for them and to "have a great day".

There's got to be a way of getting these people (the Navy in San
Diego, ca) to honor their contracts with me just like all my other
customers.

See the list below for some of the people presently involved.

------------

"Klem, Garth J CIV (CNRSW Public
Safety)",

---------------

J Johnson

619 307-2389

cwo4jtj@hotmail.com

-----------------

sybil.mcmurray@navy.mil

"Mcmurray, Sybil CIV"

Sibil (619) 524-5051

-------------------------

Brian O'Donnell

Contract Specialist

US Navy-FISC Regional Contracts

Phone: 619-532-3445

Fax: 619-532-1088

Email: brian.odonnell@navy.mil

------------------------------------
Please help!

Thanks,

Monty Henry, Owner

DPL-Surveillance-Equipment.com

(818)
344-3742

My Rental Agreement:

--------------------------------------
These are notes from my collections agent.

10/14/2005 11:00:31 AM

Steve Fretz (Collections Agent) SENT E-MAIL MESSAGE TO Monty that said the following:
Re: US Navy - Fisc Regional Contracts; Our Reference #: 1172218

Your reference #: - Y

Hello Monty,

Please see the note the collector has left for this debtor and advise.Notice to Steve Fretz that Debtor: US Navy - Fisc Regional Contracts belonging to Client: DPL Surveillance Equipment is Steve please speak to client I need proof he has done business in the past and that they have relationship I also need any PO's # for this order ,anything in writing contract /agreement ,tape recording also get me copy of a contract any contract prefer signed contract this does not look to good looks like everything done verbal.

Regards,

Steve Fretz (Collections Agent)

Please reply to sfretz@wbw-wwc.co

--------------------------------------------

10/14/2005 1:31:13 PM

Steve Fretz

Spoke with Monty Henry who said he has prior proof as will put in the notes and fax the back up to us.

---------------------------------------------
10/14/2005 1:37:40 PM

Here are some credit cards that allowed me to bill them in the past. Garth told me over the phone that the only way I had done business or will do business was via formal bidding procedures. However, that's not true because as evidenced by these credit cards that I charged. I was allowed to circumvent the normal bidding process by virtue of that fact that I gave them a very good (low) price. When you offer goods and/or services under $2,500.00 you do not have to go through the normal bidding process. J. Johnson will verify that (619) 307-2389 cwo4jtj@hotmail.com.

Master Card: *****0196 Exp: 09/07
Sec. 287
Yesenia E. Ramirez
USS Halsey
$2,500.00
-------------------------
Master Card:
****-8717
Exp 07/06
Sec. 529
$2,450.00
--------------

Thanks,

Monty

by Monty Henry
---------------------------
10/14/2005 2:11:11 PM Glenn James (Collections Agent) sw atty barbara (Attorney for Navy) said they dispute will not pay no contract dtr had contract last year for uss halsey this was diff each jo or seller need new contract signed every time client will get nothing his only recourse is litigation and will cost remember this is the us navy.
--------------------------
10/14/2005 1:47:47 PM Glenn James (Collections Agent) i/c from b odonnell said he will not discuss said must cll navy atty Barbara Amster 619/532-2197 refused any other info.
--------------------------
10/14/2005 1:47:47 PM Glenn James (Collections Agent) Left very strong message to call for Barbara Amster on Voice Mail.
---------------------------
10/14/05 05:06:39 PM
Received E-MAIL MESSAGE from Monty Henry
Re: Email from Williams, Babbit, & Weisman

Hi Steve,

Also, the attached phone records indicate that I started working on
this project as earlier as Sept. 14, 05. We were discussing such
concerns as how many? what price, etc. Because J. Johnson took so
long to get final approval we were concerned about actually having
enough units. We finally determined that we could only provide 9
units instead of 10 as originally requested. However, I always have
to make a number of phones calls to J. Johnson to reach him. Note the
short time periods of most of the calls to (619) 307-2389 J. Johnson

I would bet that they have no proof of issuing a formal bid form like
the one I sent you via attachment. They didn't send one to me or
anyone else.

Please see the attached.

Thanks,

Monty
------------------------------
10/18/2005 2:42:27 AM WEB (This note was submitted via their website)
I faxed over proof that I indeed had done prior business with US Navy - Fisc Regional Contracts. Also, J. Johnson (619) 307-2389 (cwo4jtj@hotmail.com) can verify that he reassured me that I would receive payment for setting aside 9 units for Oct. 7, 2005.

by Monty Henry
-----------------------------------
10/18/2005 4:06:34 PM WEB (This note was submitted via their website)
Hi Steve,

J. Johnson is admitting in ******* (I emailed to you) that he advised me to set aside the 9 units and that he instructed Sybil to contact me to arrange payment.

Thanks,

Monty

by Monty Henry
------------------------------
10/19/2005 3:15:39 PM Steve Fretz Spoke with Monty Henry who said he can verify or provide proof of the conversation that the client had with the debtor confirming the deal for units...
----------------------------------
Subject: FW: Fraud Investigation
Date: Wed, 19 Oct 2005 08:33:03 -0700
Thread-Topic: Fraud Investigation
thread-index: AcXNEPH/2cPW2Iy7QkWx4N3QefdnQABin8KQAJac4yAAmvBhUABXklGg
From: "Mcmurray, Sybil CIV NAVREGSW"
To: "Monty Henry"
Cc: "Klem, Garth J CIV \(CNRSW Public Safety\)"
X-ELNK-AV: 0

Monty
This is the info I received from our Navy Legal Office.
Sybil
-----Original Message-----
From: Amster, Barbara J CIV
Sent: Monday, October 17, 2005 14:37
To: Mcmurray, Sybil CIV NAVREGSW
Cc: Brown, Mary CIV CNRSW; O'Donnell, Brian CIV FISCSD 220
Subject: RE: Fraud Investigation

Please forward this email to the vendor:

Dear Vendor:

Be advised that the Department of the Navy has no contract with your company. No one with authority placed an order for goods/services to be provided by your company; and, your company did not deliver any goods or services to the Department of the Navy. The Department of the Navy received no benefits of any alleged informal or unauthorized oral agreement. [The facts do not support an allegation that a Navy employee committed the Navy informally to acquire goods or services from your company.] Under any theory of law and equity, the Department of the Navy does not owe you any money.

We consider this matter closed. Please cease and desist collection actions. Failure to do so will force the Department of the Navy and/or this Command to examine other options to enforce rights against undue harassment by you, your company, or any of your agents.

Signed:

Ms. Sybil McMurry
NAVREGSW


Counsel
Fleet & Industrial Supply Center
San Diego, CA 92132
(619) 532-2197
FAX: (619) 532-2201

-----Original Message-----
From: Mcmurray, Sybil CIV NAVREGSW
Sent: Friday, October 14, 2005 13:33
To: Amster, Barbara J CIV
Cc: Mcmurray, Sybil CIV NAVREGSW
Subject: RE: Fraud Investigation

HI BARBARA
SORRY TO BOTHER YOU AGAIN. THIS VENDOR HAS CALLED ME 5 TIMES TODAY AND I ENDED UP HANGING UP ON HIM BECAUSE HE JUST KEEPS TALKING AND WON'T LET YOU SAY ANYTHING. HE WANTS YOUR NUMBER AND I REFUSE TO GIVE IT TO HIM BECAUSE HE WILL CALL YOU ON A DAILY BASIS AND TALK AND NOT LISTEN TO ANYTHING YOU HAVE TO SAY. SO WITH HIM IT WILL HAVE TO BE IN WRITING OR YOU WILL BE GETTING CALLS SEVERAL TIMES A DAY EVERY DAY. CAN YOU PLEASE ADVISE ME IN WRITING SO I CAN RESPOND TO HIM REGARDING THE LEGALITIES OF HIM GETTING PAID FOR A CONTRACT HE DIDN'T HAVE. THANKS.

SYBIL V. MCMURRAY CODE (N2342
Supv. Resource Specialist
CNRSW Force Protection
P O Box 81226
San Diego, CA 92138-1226
(619) 524-5051
(619) 524-3981 FAX
524-5051 DSN
Ship To Address:
4297 Pacific Highway Bldg 28
San Diego, CA 92110

-----Original Message-----
From: Mcmurray, Sybil CIV NAVREGSW
Sent: Thursday, October 13, 2005 10:11
To: Amster, Barbara J CIV
Cc: O'Donnell, Brian CIV FISCSD 220; Klem, Garth J CIV (CNRSW Public Safety); cwo4jtj@hotmail.com
Subject: RE: Fraud Investigation

HELLO BARBARA

WE RECEIVED THIS EMAIL REGARDING A REQUEST WE SENT TO FISC TO PURCHASE FOR US. FISC FOUND A VENDOR THAT WAS BETTER BECAUSE IT INCLUDED A LOWER PRICE AND BETTER SERVICE. WE DON'T HAVE A CONTRACT WITH MR HENRY BECAUSE FISC DID COMPETITION AND CHOSE THE BEST VALUE. WHEN I CONTACTED HIM IT WAS ONLY FOR SPECS AND PRICING ON THE EQUIPMENT, WHICH HE FAXED OVER TO ME. WE WERE GETTING INFORMATION FROM SEVERAL VENDORS DUE TO THE REQUIREMENT BEING OVER OUR $2500 THRESHOLD. MR. JOHNSON, WHO ORIGINALLY CONTACTED MR. HENRY FOR THE INFO IS CONSIDERED AN END USER OR CUSTOMER AND HAS NO AUTHORITY TO DISPENSE GOVERNMENT FUNDS. LAST YEAR WE HAD A CONTRACT WITH THIS VENDOR VIA FISC (BRIAN O'DONNELL) AND THAT WAS A HEADACHE. MOST OF THE INFO HE IS EMAILING US IS FROM THE PREVIOUS AWARDED CONTRACT WITH FISC. SOMEONE ON THE "USS HALSEY" USED HIS COMPANY WITH A CREDIT CARD PAYMENT AND HE WANTS TO USE THAT CARD FOR PAYMENT. NOW HE SEEMS TO THINK WE OWE IT TO HIM TO GO WITH HIS COMPMANY JUST BECAUSE WE ASKED IF HE HAD THESE UNITS AVAILABLE . CAN YOU LET ME KNOW WHAT WE NEED TO DO ON OUR END. HE IS NOW TALKING ABOUT SUING US AND IS EMAILING GAO TO AUDIT US. HE CALLED AND WANTED YOUR PHONE NUMBER BUT HE CALLED MY BOSS AND ME TODAY AND WOULDN'T LET US TALK. SO I DIDN'T WANT TO BURDEN YOU WITH HIM. HE IS VERY PERSISTENT AND I AM SURE HE WILL FIND HIS WAY TO LEGAL BUT I WANTED TO WARN YOU. WHAT CAN I EMAIL HIM TO LET HIM KNOW THAT WE CAN NOT LEGALLY PAY FOR SOMETHING WE NEVER RECEIVED. SEE ATTACHEMENTS. THANK YOU FOR YOUR ASSISTANCE.

SYBIL V. MCMURRAY CODE (N2342
Supv. Resource Specialist
CNRSW Force Protection
P O Box 81226
San Diego, CA 92138-1226
(619) 524-5051
(619) 524-3981 FAX
524-5051 DSN
Ship To Address:
4297 Pacific Highway Bldg 28
San Diego, CA 92110
-------------------------------
To: "Mcmurray, Sybil CIV NAVREGSW"
From: Monty Henry
Subject: Re: FW: Fraud Investigation
Cc: cwo4jtj@hotmail.com, brian.odonnell@navy.mil, garth.klem@navy.mil
Bcc:

Wrong!

I have proof that J. Johnson requested that I set aside 9 walk-throughs for an event scheduled for Oct. 7, 2005. I have plenty of facts to support it. I set-aside 9 units at my expense and I expect to get paid from you just like anyone else who causes me to set aside equipment for rental. This is not the first time this same employee has requested and received such services and caused payment for the same so I have to assume that someone over there has allowed and is allowing him to act in this capacity and I also have the credit cards provide by your employees to prove it.

In the private sector just like in the public sector... when you set-aside rentals I can not rent the same to other customers so I incur expenses.

Also, I was told that I submitted a bid (Klem, Garth) and I have yet to see any evidence that I or anyone else participated in the same.

I'm a taxpayer also and I deserve to know how my money is being spent. I want to know who these companies are that submitted bids, who actually won this mysterious bid and at what amount or costs to me and other taxpayers and when did such bidders actually receive notice that there was even a bid out for this service? Please fax me a copy of the final bid acceptance doc. for my records. (775) 249-9320

Actually, when the Navy or anyone else causes my company to set-aside or reserve equipment so that you can go shopping for other "offers" there is a benefit received. I'll explain: You have a back-up source of rentals just in case the other offers do not pan out. Get it!

My supplier received numerous calls between Oct. 5-6, 2005 from other vendors to supply rentals to you after J. Johnson informed me that Sybil would call me to arrange payment. He (my supplier) was alarmed and concerned and so was I. I need to compensate my people for securing equipment to accommodate you.

Anyway, I called J. Johnson yesterday and he admitted the same (that I set aside 9 walk-throughs for an event scheduled for Oct. 7, 2005) and said he would make the necessary phone calls to get this matter resolved.

You guys should not have ever allowed him to act in this capacity if you are not going to support him or if he is doing something illegal. If you're allowing him to do something illegal then we have another problem which needs to be addressed also. Most companies honor their commitments to their customers or vendors and settle any confusion among employees internally. I did not call him for any of these requests for services he called me on each occasion.

Also, this quote from Sybil is a lie: "NOW HE SEEMS TO THINK WE OWE IT TO HIM TO GO WITH HIS COMPMANY JUST BECAUSE WE ASKED IF HE HAD THESE UNITS AVAILABLE . "

I was told to set-aside the units and that someone (Sybil) would contact me for payment.

Sybil is trying to make me out as someone totally incapable of intelligent (verbal) communication. Wrong again!

I submitted and invoice to you on this already and I'm expecting payment as promised.

(818) 344-3742

Thanks,

Monty
-------------------------------
To: "Mcmurray, Sybil CIV NAVREGSW"
From: Monty Henry
Subject: RE: FW: Fraud Investigation
Cc:
Bcc:

Wrong!

As a taxpayer I have a right to know how my money is being spent and the last time I checked your job is funded by my taxes.

When the GAO contacts you explain to them how you operate.,

Monty


We are governed by Federal Acquisition Regulations that compel us to compete at least 3 vendors on all orders over $2500. I have an email from you with the specs and a price quote that was used to compete (bid) with 2 other vendors. When we get something in writing on your legal department letterhead, I will provide you the requested documents, otherwise you were asked to cease and desist any futher collection actions. I am going to delete all your messages without reading them from this point on. I will also let the legal department know that you are unduly harassing me.
Sybil McMurray
-------------------------------

That's it for now because this is still on-going I can't give all the details (sorry).
However, my point is we (our military) can waste billions on fraudulent contracts doing business with such companys as Halleburton, etc. However, my small business can't seem to get paid a measly $6,400.00 which I was told they would honor.

Monty