LOS ANGELES — Cory Taylor Wright was sentenced to 36 months in federal prison and ordered to pay $9,128,515 in restitution for defrauding the Navy through a sham contracting scheme. United States District Judge Stanley Blumenfeld, Jr. presided over the sentencing after Wright pleaded guilty in September 2025 to one count of wire fraud.

Wright, 49, resides in Columbus, Georgia, and was enlisted in the Navy from February 1997 until his retirement in May 2017. He worked for the Navy’s Mobile Utilities Support Equipment division (MUSE) at the naval base in Port Hueneme in Ventura County from 2005 to 2017. The fraudulent scheme lasted from December 2016 to August 2022.

In December 2016, Wright and Juan Carlos Aragon created C&C Power Solutions LLC (CCP), a Georgia-based company. Aragon, 48, resides in Port Hueneme and retired from the Navy in 2021. Aragon held supervisory positions at MUSE that allowed him to exercise influence over naval contracts. Wright and Aragon concealed Aragon’s role and financial interest in CCP from the Navy.

Wright paid Aragon thousands of dollars in kickback payments and other benefits, including payments to a sporting club operated by Aragon. Aragon caused a prime contractor and subcontractors to issue payments to CCP for products and services that CCP did not provide to fund initial operations. Wright generated false invoices representing that CCP had completed work and delivered products when it had not.

The scheme involved a task order issued in 2017. Wright and Aragon submitted multiple fake contract bids with estimated project costs significantly higher than CCP’s bid for the task order. They also generated bogus documents, including a fraudulent past performance questionnaire, to obtain a prime contract that the Navy awarded to CCP in July 2019. The Navy terminated three task orders awarded to CCP in late 2022 and early 2023.

Juan Carlos Aragon pleaded guilty on April 21 to one count of bribery of a public official and was ordered to pay $97,960 in restitution. Assistant United States Attorney Ian V. Yanniello of the National Security Division prosecuted the case. The Defense Criminal Investigative Service and the Naval Criminal Investigative Service investigated the matter.

"This was not an isolated lapse in judgment or a fraud of limited duration," Yanniello said. "[Wright] repeatedly participated in deceptive conduct designed to undermine a competitive federal procurement process."

According to court records, Wright used funds obtained through the fraudulent contracts to finance personal expenses and business operations. Investigators determined that the total loss to the Navy exceeded $9 million. The investigation revealed that CCP lacked the personnel, equipment, and facilities necessary to perform the contracted work. Despite this, Wright and Aragon continued submitting claims for payment over several years.

Federal prosecutors emphasized that the scheme exploited weaknesses in oversight and relied on the defendants’ insider knowledge of Navy contracting procedures. The case highlights ongoing efforts by federal agencies to detect and prevent fraud involving government contractors with ties to current or former military personnel.

Wright’s sentencing reflects the Department of Justice’s commitment to holding accountable those who abuse public trust for financial gain. The restitution order requires joint liability between Wright and Aragon for the full amount of losses attributable to the fraud.

Authorities continue to review related contracts and financial transactions to determine whether additional charges are warranted. The investigation remains active, with officials examining potential links to other defense-related contracting entities.