A former Morton Thiokol Inc. employee appeared Friday before a Utah federal magistrate on a three-count indictment accusing him of accepting kickbacks in exchange for awarding subcontracts to a California firm.
Magistrate Calvin Gould ordered Milo Andersen, Preston, Idaho, to appear March 20 before federal Judge Bruce Jenkins for scheduling of a trial.A federal grand jury indictment handed up last month against Andersen charges him with taking kickbacks from Forman Dawson, owner of L&B Machining and Manufacturing Corp., Placentia, Calif.
Andersen allegedly accepted cash in August 1984 and again in July 1986 and a vacation to Las Vegas, Nev., in April 1986 from Dawson in return for subcontracts dealing with Lockheed Missiles and Space Co. Inc.
Dawson was fined $15,000 earlier this year in his conviction on two counts of paying kickbacks to former Thiokol purchasing agent John E. Ward. Dawson's former business partner, Louis Beckett, from the San Diego area, was fined $5,000 last month in a plea bargain involving the same counts.
Ward, 44, Salt Lake City, faces sentencing next month on his guilty pleas to single counts of mail fraud, filing a false tax return and receiving kickbacks. In exchange for his guilty pleas, 27 related counts were dismissed.
Ward admitted using his position in the procurement department at Morton Thiokol's Wasatch Operations near Brigham City to award a subcontract to a Los Angeles company for materials used on NASA's space shuttle program and a missile safety evaluation for the Air Force.
Ward resigned in May 1986. He also admitted receiving a $39,960 check for a fictitious company, which he operated out of his basement, to buy and resell supplies to the rocket maker at inflated prices.
In addition, Ward confessed to failing to report income from that company and another dummy firm on his 1985 income tax return.
A total of a dozen people and nine companies have been charged in the case. All the charges have been resolved, with the exception of those against Ward and Andersen.
Prosecutors have said investigators believe none of the materials supplied to Thiokol were used for "flight hardware" in any government program.