THE SECRETARY OF THE NAVY
WASHINGTON DC 20350-1000

 

JUN 142013

From: Secretary of the Navy
To: CAPT Charles Johnson, USN

Subj: SECRETARIAL LETTER OF CENSURE

Ref: 5 C.F.R. Part 2635
Uniform Code of Military Justice
550007?11 (JER)
U.S. Navy Regulations, 1990
JAGMAN 0] 14a

1. From 2004 to 2010, while serving in a number of leadership positions in the U.S. Navy, to
include Commanding Of?cer, USS MCCAMPBELL (DDG 35), in the Seventh Fleet area of
operations, you demonstrated exceedingly poor judgment and leadership by repeatedly and
improperly accepting gifts from Mr. Leonard Francis, the President of Glenn Defense Marine
Asia (GDMA), a defense contractor and, therefore, a prohibited source. In addition, you
maintained an inappropriate relationship with Mr. Francis, engaged in conduct that was
unbecoming an of?cer and a gentleman in accepting these gifts, and then made false of?cial
statements by failing to disclose your relationship with him when required to do so. As a
business owner conducting signi?cant contractual ?nancial relationships with the United States
government, Mr. Francis had a clear and obvious ?nancial incentive to curry favor with senior
of?cers. In addition, Mr. Francis was engaged in a criminal conSpiracy to defraud the U.S.
government. As demonstrated in federal court, the full extent of the losses to the United States
and its taxpayers as a result of Mr. Francis?s criminal activities exceeds $34,800,000.

2. You repeatedly and improperly accepted gifts from a prohibited source by failing to pay fair
market value or return them, as required per reference In April 2004, while serving as
Executive Of?cer, USS CUSHING (DD 985), you attended a dinner in Port Klang, Malaysia,
paid for by Mr. of a value in excess of ethical limits. On July 26, 2006, while
serving as Readiness Of?cer for Carrier Strike Group FIVE (CSG 5), you attended a subsidized
wetting down in Singapore to celebrate your promotion to Commander, for which you paid $5 00
while Mr. rancistDMA paid over $6,000 for food, alcohol, and entertainment. In return, you
disseminated a GDMA force protection marketing materials CD to two Force Readiness
Protection Of?cers, and disclosed of?cial information to Mr. Francis. You thereby, in addition
to improperly accepting the gift of a subsidized wetting down reception, committed the offense
of graft, in violation of Article 134 of reference by receiving a gift in recognition of services
to be rendered in favor of GDMA. On January 19, 2008, you attended a private dinner at the
Ritz Carlton Hotel in Tokyo, Japan, for which you paid nothing and Mr. rancistDMA
expended in excess of $2,200 on food, alcohol, and transportation. On July 27, 2009, while
serving as Commanding Of?cer, USS MCCAMPBELL (DDG 85), you attended a dinner at the
Cha Cha Char Grill in Brisbane, Australia, for which you paid nothing and Mr. FrancistDMA
spent more than $230 on food. During the same port visit, you solicited the gift of another free

Subj: SECRETARIAL LETTEROF 

dinner event from Mr. for you and yltiur 'c'ornniand?s Department 
you proposedto GDMA as an opportunity to ?indoctrinate [them] in [Mr Franc'ists] Way of
doing business beforethey make You. led your. Executive Of?cer and junior of?cer
Department Heads to this dinner-at the. ll Centro? restaurant, for winch you paid nothingfand Mr.
.FrancisiGDMA paid in excess of $1,000 for-food and alcohol. This action mark-s another
instance in? which you committed. the. offenseof graft, as. you received. the gift of a. dinner in
recognition of performing-a service for the bene?t of GDMA by'arranginglan opportunity for its
representatives to ?indoctrinate?7yo_ur subordinateoffi'cers. lnIDeceniher 2009, you accepted a
gift basket. containing chocolate or fruit, for which you paid nothing and Mr. Francis?GDMA
spent approximately-$100. On October 4, 2010,.you accepted the gift-of two elephant vases, for'_
which you paid nothing and .pai'd- approximately 

On September 25,2015, Defense Criminal Investigative investigators
interviewed you, and yen provided a voluntary "statement totheni. During. your interview, you.
indicated that hemeen 200.5 and. 20.08-you were'warned by the CSG 5 Staff Judge-AdvocateLto?
he oare?ilaround Mr. Francis and GDMA. However-g, there is no evidence that you consulted
with, or "obtained a legalopinion from. that or a?ny'other judge advocate-regardingany of the
foregoing gifts". Based on the materials in the record. concerning-you, there'areno-exceptions to
the acceptance of these gifts that are applicable to you in accordance with-reference, 

4.. In addition to-the aforementioned improper gift-acceptanceand graft, you made two. false
official statements, in violation of Article 10? of reference by'fa'iling to disclose your
relationShip with Mr Francis when required to do so. On January 2014, in-the process of
renewing-your security clearance,- you Signed and 'submittedresponses to a questionnaire that
askedabout your contactswith foreign nationals during the previous seven years. You did' not
disclose your contact with Mr. Francis, even though within-that seven-year period
ManrancistDh/IA had given. you expensive. ifts and im'nuroerl - 
one of which Mr. Francis himself attended,
improperlyperfOHned services for GDMA none 1_ youan- . r, rancis a ecome Facebook.
friends, and a. employee had referredto as ?in Francis] pocket.?
That extensive and potentially compromising contact had unquestionably put you in a position to
be in?uenced by Mr. rancis. You Were antru'thful .in not-disclosing it.-w1r1en required, On,
February 33,2014, when. you were. interviewed regarding your. responses to that questionnaire,
you volunteered the name of a foreign national whom you had omitted from your written
responses, but again did not disclose your contact with Mr. Francis.

  
  
   

   

.5. Reference establisihes. a? clear prohibition of the use ofone?s publie'of?ce for private gain.?
The-'frequency'of the gifts you received, as we'll as the fact that you had-directand personal
contact.with.Mr. Francis regarding them, would lead a reasonable person- with knowledge, of the
relevant facts to believe that you used your public. of?ce for Your Willingness to
.acce'pttho'se gifts provided theworst type of cirar?nple for subordinate of?cers within your chain
of 'corrnnand and other of?cers. who-obserVed 'your'i'nteraction with Mr. Francis.

6. Pursuant to reference you were-responsible for setting the ethical and moral tone foryonr
subordinates andiyour- commands. Your improper personal-behavior, including-theacceptance of
gifts'on prohibited souree, your-direction. of your subordinate officers
to do. the same, and your overly fann-liar relationship with Mr. Francis, Set .a wholly unacceptable

2

subj: .SECRETARIIALI LETTER OF cans-11111;

ethical tone As such, your conduct constituted a signi?cant deviation from the Standards
expected of all Naval O?icers, particularly those entrusted with. command and other leadership
positions.

7 Moreover, the evidence reflects that at least. one of the events spmonsored by
Mr. Franc1st GDMA that you attended well eXceeded the bounds of decorum and fell far below
the conduct expected of a United States Navy Of?cer involving excessive alcohol consumption
which was. to. the disgrace of the sorted forces You drank heavily. at one of the aforementioned
July 2009 dinners in Brisbane, Australia; a employee'later. told. Mr. Francis by email that
you were ?bi-astwed and that you ?nished the. restaurant 3 .last bottle of a certain kind of liquor
?I?on the spot-1" As a senior of?cer, you. had a duty to represent the United States- and the United
States Navy 111 'a way that upheld the values of our great nation and Navy Rather you
intentionally disregarded the. ethical standards long. established for the naval service and brought
ill-repute and. disgrace upon our honored institution. By encouraging sobordi'nate of?cers to
attend these events you enabled Mr, Francis to' identify and target other wof?cers and potentially
recruit them tor- participation in his criminal scheme to defraud the United States. Your conduct,
in addition toIbeing 1n violation of the ethical rules already set forth, violated Article-133 of
reference (13), whose Explanatory text states: ?Not everyone- is or c1:1n be expected to meet
unrealistically high 11111111117. 11111111111111, but there .is 11 1111111 oftoiern'nce httseci on the. customs oftne
service and 11111111111131.111111111113; below which the personal standards of on o?icer 
without serious! compromising the pars on 11 standing 11s tin o??icer. .or the person 11 character
as conduct fell well below that minimum baseline1lt 1s clear that you did
not care about the reputation of the Navy or the example you were. setting for the of?cers 1n: your
command and other subordinate of?cers with whom. you worked while' leadership positions
You failed these of?cers, you failed. your ship, and you failed the Department of the Navy?.

8. Your conduct during-this period was contrary to the Standards of Ethical Conduct for
Employees of the Executive Branch, the Uniform Code of Military ustice the Joint Ethics
Regulation and U1 Navy Regulations, references and standards which you had
a duty to. know, obey, and model.

9 Your actions. have cast a shadow over the. reputation of all the outstanding men and Women
'who served during your tenure in command and time in other leadership positions. You were. in
positions of 1mporta11'ce, including that of a commanding of?cer of a United States Navy-
warship, expected to. model the core values of the Navy as a- leader and shape our Navy leaders
.of' the future Instead, you .abused your positions to accept gifts from 
participate in inappropriate activities and worse yet, lead the officers under your charge; and year
leadership to. imitate your poor behavior. You then. compounded those abuses by making false
statements during an investigation with national sect'irity implications

10 You are, therefore, administratively censured. for your leadership 'afaiIUresI A copy of this
letter will be placed 111 your official service record in accordance with referenCe 

Subj: SECRETARIAL LETTER OF CENSURE

1 1. Within 15 days of the receipt of this letter, you may forward a rebuttal, consistent with
reference for inclusion in your of?cial record, if you so desire.



RICHA V. SPENCER

Copy to:
Consolidated Disposition Authority
Chief of Naval Personnel