Navajo Nation didn't check background before loan

Thursday, June 7, 2007  

The Navajo Nation failed to do a background check of the CEO of a company who was convicted of mail fraud, wire fraud, commodity fraud and perjury, a tribal official said.

Hak Ghun of BCDS Manufacturing Inc. was convicted in 1994. The tribe didn't know about his record before it agreed to lend his company $2.2 million.

"We did a very cursory check," Executive Economic Development Director Allan S. Begay told The Farmington Daily Times.

But Begay supported the work of Ghun and BCDS, which operates a manufacturing plant on the reservation. Navajo Nation Council delegates, however, are investigating the loan.

Get the Story:
Economic development director supports BCDS (The Farmington Daily Times 6/7)

Relevant Links:
Navajo Nation - http://www.navajo.org