Watch CBS News

Man Sentenced For Defrauding Caltrans Of $1.9 Million Through Ad Scheme

SACRAMENTO - A Sacramento man has been sentenced to nine years in state prison for defrauding Caltrans out of nearly $1.9 million.

Eric Hodgson, 43, pleaded guilty to seven of 22 counts of grand theft Thursday in Sacramento Superior Court. The plea deal also included forfeiting his two residences, two cars, several retirement accounts, and a collection of Stars Wars memorabilia worth more than $10,000.

Hodgson was arrested in April after Caltrans discovered fraudulent invoices for print ads his Elk Grove company Phenix Print & Image was supposed create and have run in local newspapers but never did.

Two invoices submitted by the company showed contracts for work awarded to Phenix in 2008 and 2009 totaled more than $1.8 million. Caltrans says it awarded a contract to Phenix in 2011 for more than $800,000, but terminated the contract before money changed hands.

The department says Hodgson used the money to pay off a mortgage, purchase toys and comics, and pay for exotic trips for him and his company staff.

View CBS News In
CBS News App Open
Chrome Safari Continue
Be the first to know
Get browser notifications for breaking news, live events, and exclusive reporting.