When Leonard Glenn Francis appears in a San Diego federal courtroom later this month, it will be his fifth such appearance since returning to the United States in December.
Francis was better known as "Fat Leonard" during his decades-long career as a Navy contractor in Asia. From the 1990s through his arrest in 2013, Francis admitted he bribed scores of Navy officers and civilians with lavish gifts, parties and cash. In return, they helped steer ships to ports he controlled via his company, Glenn Defense Marine Asia.
At a March court hearing in San Diego, Francis wore a beige prisoner jumpsuit over his 6-foot-3-inch frame, a sharp contrast to the flashy wardrobe he was known for during when he wined and dined Navy officers.
It was a low key hearing in one of the most extraordinary federal criminal conspiracies ever prosecuted.
"There's never been such a wide-ranging corruption scandal within the U.S. military," said Rachel VanLandingham, a former Air Force lawyer who is now a professor at Southwestern Law School. "In modern U.S. history, there's never been a case that was this encompassing — that cast this wide a net — because we had such far-reaching corruption."
After the Cold War the Navy closed its Subic Bay base in the Philippines — its main support base in Southeast Asia. This helped open ship husbanding work to contractors. Husbanding involves caring for everything a large warship and thousands of sailors might need when in port — food, supplies and in some cases, security. All things Francis’ company provided, at a steep price.
Francis overcharged the Navy with fake invoices signed-off by Navy officials under his sway. He pleaded guilty in 2015 to pocketing at least $35 million in fraudulent billings.
Dan Grazier was a Marine Corps officer who now works as a senior defense policy fellow at the Project on Government Oversight, a non-partisan government watchdog group. He said he's concerned the lessons of the scandal haven't been learned.
"I see a broad systemic problem with this case," Grazier said. "The fundamental problem … is the Department of Defense is over-reliant on contractors for basic support."
Francis' company provided husbanding services and in some cases controlled ports all around the western Pacific. For two decades, Navy ships conducting port calls in places such as Hong Kong, Thailand, the Philippines and Malaysia would routinely contract with Francis.
He made it a point to be photographed with Navy brass at functions. He'd throw lavish parties for the officers of visiting ships with fine food, wine and often, prostitutes.
Grazier said there was a culture in the service that made such a scheme possible.
"There (were) a lot of people that knew this was going on — even if they weren't participating — and they didn't report it," Grazier said.
David Schaus tried to do the right thing. He was a lieutenant running the Navy's Ship Support Office in Hong Kong in the mid-2000s. It wasn't long before he found himself at odds with Francis, he said.
During one aircraft carrier port visit, Schaus said he noticed Francis billed the Navy for supplying more water than the ship could hold. It was the first time Schaus met Francis, and he said he remembers it well. Francis lost his temper when confronted with the bogus charges and got in Schaus' face, he said.
"He's big and intimidating," Schaus said. "After he figured out I wasn't going to back down or move out of his face, he sat down and banged on the table a few times."
Navy records show Schaus reported Francis multiple times to the Naval Criminal Investigative Service, or NCIS. When he installed flow meters to measure how much liquid Francis' company was pumping on and off ships, the contractor leaned on his Navy connections to get the troublesome lieutenant under control, court records show.
Schaus said his superiors told him to back off.
"'It's not your job to investigate Glenn Defense'" Schaus said one officer told him. "'It's not your job to investigate Fat Leonard.'"
But he wasn't deterred, he said. Even when other Navy officers told him Francis had powerful friends and to be careful.
"I was young and idealistic — I didn't care," Schaus said. "But, he did have a lot of influence and he was able to make my job difficult."
It wasn't long before Schaus left the Navy and the Hong Kong Ship Support Office was closed.
Over the years, NCIS opened more than two dozen investigations into Francis' company. In 2013, Francis was arrested in San Diego.
More than 30 people, including an admiral and an NCIS agent, pleaded guilty to bribery and conspiracy-related charges. Other officers were court-martialed. Hundreds were investigated and dozens received administrative punishment, Navy records show.
The biggest case, however, fell apart in 2022. Four former 7th Fleet officers were found guilty of felony bribery. It was the only federal case out of more than two dozen to go to trial.
But just after that guilty verdict, District Court Judge Janis Sammartino found the prosecutors withheld potentially exculpatory evidence from defense attorneys. The four felony convictions were overturned last year due to the misconduct. The defendants' pleaded guilty to lesser misdemeanor charges.
The fallout isn't over. Last month, prosecutors filed a brief indicating more convicted conspirators could see reduced charges.
VanLandingham said such conduct raises questions about the Justice Department's handling of the case.
"The U.S. Attorney's office here in Southern California should have been using the utmost care in prosecuting, and prosecuting the right way," she said.
The case took another bizarre turn in September 2022 when Francis — who'd been living under house arrest in a San Diego suburb — cut his ankle monitor and fled the country.
He was arrested soon after in Venezuela. After more than one year, he was returned to the U.S. in a prisoner swap. He remains in custody in San Diego, awaiting sentencing.
At a status hearing in January, Francis told the court he was going to find a new attorney. At a February hearing, he told the judge he hadn't yet found one and asked for more time. Then, at a hearing in March, Francis said he still couldn't find a new lawyer and again asked for more time.
Prosecutors have said they're waiting until Francis is sentenced to bring charges related to his escape. A sentencing hearing won't be scheduled until Francis retains a lawyer.
Sammartino gave him another 60 days to do so. He's due in court again this month.
