Thursday, 29 October 2026
Insider Threat Roundup

Former aerospace employee admits military leave pay fraud

Omar Naziry admitted using false deployment claims to obtain employer benefits despite never serving in the US military, according to the Department of Justice.

An anonymous office worker reviews paperwork beside personnel folders.
This image was generated using Artificial Intelligence.

What happened

Omar Naziry, a former employee of a global security and aerospace company, pleaded guilty to mail fraud in federal court in San Jose, California, on 18 June 2025 over false claims for military leave pay.

The US Department of Justice announcement, which is the source of this report, identified Naziry as a 40-year-old resident of Mountain View. It did not name his former employer.

According to his plea agreement, Naziry received pay supplements and other employment benefits between August 2016 and April 2022 by claiming he was away on military deployment. He acknowledged that he had never belonged to the US armed forces.

His first application, in August 2016, included fabricated deployment orders and a military document showing supposed earnings and leave information. The company approved the payments.

In July 2017, Naziry sought to continue receiving the supplement, presenting further false orders and claiming that his deployment would last another four years. The employer also approved that request.

A further application in June 2021 failed because he had exhausted the company's five-year allowance for the payments. In January 2022, he tried to obtain more money using a false identity.

The company challenged the authenticity of his deployment paperwork in a letter sent in March 2022. Naziry replied by post, maintaining that the documents were genuine and that he was serving in the Middle East, in an attempt to secure further payments.

The background

The benefit was designed to protect employees from losing income while undertaking military service. It covered the gap between their military earnings and their company salary, a payment known as differential pay.

According to the indictment, the employer introduced the arrangement after the terrorist attacks of 11 September 2001 and subsequently widened eligibility to include every type of military leave.

The case concerns misuse of an employment benefit, rather than an allegation of stolen aerospace information or interference with security systems. Its relevance to insider risk lies in an employee using false supporting documents to obtain money through an established workplace process.

That differs from cases in which an employee controls the payment process itself. In an earlier Georgia charity embezzlement case, an employee used her payroll and expenses responsibilities to divert funds, according to the Department of Justice. The distinction matters when assessing whether a risk comes from dishonest applications, misuse of administrative authority, or both.

Naziry also acknowledged a separate fraud involving federal housing support. Between January 2021 and October 2022, he received $35,093 from the US Department of Housing and Urban Development after deliberately reporting income substantially below his actual earnings, according to the plea agreement.

A federal grand jury indicted him on 24 July 2024. The June 2025 announcement records a guilty plea to one mail fraud count; it describes the housing fraud as a separate admission within the plea agreement, rather than announcing a second guilty plea.

What people are saying

The Department of Justice said Naziry acknowledged that his conduct cost the employer between $250,000 and $550,000. The announcement gave a range rather than a single loss figure.

US Attorney Craig H. Missakian and John Helsing, acting head of the Western Field Office of the Defense Criminal Investigative Service, announced the plea. The department attributed the investigation to that service and the housing department's Office of Inspector General.

The announcement identified Assistant US Attorney Ryan Arash Rezaei as the prosecutor, supported by Kevin Costello and Lynette Dixon.

What happens next

At the time of the announcement, Naziry remained free on bond. His sentencing was scheduled for 24 September 2025 at 10:00 before US District Judge P. Casey Pitts; the supplied release does not report the outcome of that hearing.

The offence carries a maximum prison term of 20 years. The department also listed a potential fine of $250,000, or twice the gross gain from the offence.

Those figures are statutory ceilings, not a prediction of the punishment. The court would determine the sentence after considering federal sentencing guidelines and the factors required by US sentencing law.

Timeline

  1. August 2016

    Naziry submitted false military documents and obtained employer pay supplements.

  2. July 2017

    He secured continued payments by falsely claiming a four-year deployment extension.

  3. June 2021

    The employer refused another request because Naziry had reached its five-year payment limit.

  4. January 2022

    Naziry used a false identity to seek additional military leave pay.

  5. March 2022

    The company questioned his documents, and he replied by post insisting they were genuine.

  6. 24 July 2024

    A federal grand jury indicted Naziry.

  7. 18 June 2025

    Naziry pleaded guilty to one count of mail fraud.

  8. 24 September 2025

    Sentencing was scheduled for this date in the Justice Department announcement.

Why this matters

Insider risk can involve ordinary employment benefits as well as sensitive information or computer access. This case highlights the importance of checking the evidence behind initial claims and later extensions, particularly when payments depend on circumstances outside the workplace. The company's five-year limit stopped one further application, but that was separate from establishing whether the underlying entitlement was genuine. For organisations, payment limits and eligibility checks address different parts of the risk.

Questions and answers

Who is Omar Naziry?
Omar Naziry is a former employee of an unnamed global security and aerospace company. Described as 40 and living in Mountain View, California, he pleaded guilty to mail fraud on 18 June 2025.
How did the military leave pay fraud work?
Naziry submitted false military paperwork to obtain employer payments intended for staff on military leave. He claimed deployments and extensions despite never serving in the US armed forces.
What is military differential pay?
In this case, differential pay covered the gap between an employee's company salary and military earnings. The employer offered it so military service would not reduce an employee's income.
How much did Naziry's employer lose?
Naziry admitted causing his former employer a financial loss of between $250,000 and $550,000. The Justice Department announcement did not provide a single final figure.
Which aerospace company employed Naziry?
The Justice Department did not identify the employer. Its announcement described the business as a global security and aerospace company.
Did Naziry also admit housing benefits fraud?
Yes. He acknowledged obtaining $35,093 in federal housing assistance between January 2021 and October 2022 by deliberately understating his income.
What sentence does Naziry face?
The mail fraud count carries up to 20 years in prison. The Justice Department also listed a potential $250,000 fine, or twice the gross gain. The supplied release does not report a sentencing outcome.

Sources

This report is based on original reporting and publications from:

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