A USAID Office of Inspector General (OIG) investigation found that Stephen Paul Edmund Sutton, a United Kingdom citizen, and Atif Hussain Gillani, a Pakistani citizen, participated in a kickback scheme that defrauded a U.S.-funded power grid project in Pakistan of nearly $100,000. As part of the scheme, Sutton received at least $21,000 in kickbacks.
From May through November 2015, Gillani and Sutton carried out a kickback scheme by creating two companies, obtaining purchase orders for forklift and crane services from a USAID awardee, and distributing the profits to themselves.
As part of the scheme, Gillani arranged for local vendors to provide the services for substantially less than the rates in the purchase orders. Sutton ensured that the company paid the invoices despite suspicions raised by an accounts payable officer.
During the investigation, OIG conducted extensive field work throughout Pakistan, submitted multiple requests for overseas bank records, coordinated with foreign law enforcement counterparts, and attempted additional specialized investigative techniques in coordination with the Department of Justice that yielded critical evidence for the investigation.
On May 19, 2025, Sutton pleaded guilty and was sentenced for his participation in the fraud scheme after being extradited to the United States. On August 28, 2025, USAID issued a notice of a three-year debarment to Sutton.
On September 23, 2025, Gillani pleaded guilty and was sentenced for his part in the fraud scheme. On August 12, 2026, USAID issued a notice of a three-year debarment to Gillani.
USAID OIG, a statutorily independent law enforcement agency, continues to investigate fraud, corruption, diversion, and other misconduct impacting U.S.-funded foreign assistance programs and operations across multiple agencies. Please report any alleged misuse of U.S. taxpayer dollars impacting American foreign assistance to the OIG Hotline through https://oig.usaid.gov/report-fraud.
For more on USAID OIG’s investigative activities, please visit https://oig.usaid.gov/our-work/investigations.