DOW JONES NEWSWIRES
The Justice Department charged a second former Home Depot Inc. (NYSE:HD) (HD) employee with conspiring to defraud the home-improvement retailer by getting kickbacks from foreign suppliers.
A spokesman for the Atlanta-based company said it was pleased to work with the U.S. Justice Department and added that Home Depot (NYSE:HD) doesn't tolerate that kind of behavior.
Federal prosecutors charged James P. Robinson, 43, of Atlanta with one count of conspiracy to commit wire fraud against the company and two counts of income- tax evasion. The Justice Department said Robinson allegedly arranged for Home Depot (NYSE:HD) to buy items for resale on less than the most advantageous terms to the company.
Robinson was a former divisional merchandising manager for flooring. He was fired by Home Depot (NYSE:HD) in July.
The charges come two weeks after another former Home Depot (NYSE:HD) employee was charged on similar counts. In May, the Justice Department said Arthur M. Tesvich, 42, took millions of dollars in secret payoffs from company vendors and evaded paying taxes on income of about $1.42 million from 2003 through 2005.
The government alleges that Tesvich participated in a conspiracy to defraud Home Depot (NYSE:HD) by taking kickbacks from vendors seeking to do business with the company from October 2002 to October 2007 and paid kickbacks to fellow employees both during his tenure at the company and after he left.
Tesvich is expected to plead guilty at his court appearance on June 30, the Justice Department said Thursday.
-By Conning Chu, Dow Jones Newswires; 201-938-5400; conning.chu@dowjones.com
(END) Dow Jones Newswires 06-12-08 1629 Copyright (c) 2008 Dow Jones & Company, Inc.
