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Widespread Corruption in US Construction Projects Exposed

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United States, October 16, 2025

A recent report has uncovered alarming levels of corruption within construction projects across the United States. The findings highlight issues such as bribery and regulatory failures that lead to inflated costs and jeopardize the safety of public infrastructure. Stakeholders are calling for immediate reforms to address these critical vulnerabilities, emphasizing the need for transparency and accountability to ensure the safety and effectiveness of future construction endeavors.

Arlington, Virginia is addressing a significant surge in construction fraud, with numerous residents reporting deceptive practices by individuals posing as contractors. These fraudulent activities have led to financial losses and raised concerns about the integrity of local construction projects.

Details of the Fraudulent Activities

Residents have reported instances where individuals, sometimes claiming to be Arlington County contractors, approach homeowners offering services such as driveway sealing and roof repairs. After receiving upfront payments, these individuals fail to perform the agreed-upon work and do not refund the money. Such scams have been circulating in Arlington, prompting the Arlington County Police Department (ACPD) to issue a public warning.

Preventive Measures and Resources

  • Avoid hiring door-to-door solicitors offering home improvement services. Pay attention to high-pressure sales tactics, cash-only deals, on-site inspections, and deals without contracts.
  • Hire contractors that are licensed and insured. Conduct a license inquiry for a contractor with the Virginia Department of Professional and Occupational Regulation.
  • Review references and reviews of contractors prior to hiring and signing a contract for services to be performed.
  • Never pay the full amount for a project upfront. Generally, down payments should not exceed 10% of the total contract price.

Homeowners are also encouraged to report any suspicious activities to the ACPD’s Financial Crimes webpage and to file online police reports if they have been targeted or victimized by such scams.

Reporting Fraudulent Activities

To report suspected fraud, waste, or abuse within Virginia executive branch agencies and institutions, citizens and state employees can contact the State Fraud, Waste, and Abuse Hotline. Reports can be made anonymously and confidentially through various channels, including a toll-free telephone number, email, web form, mail, or voicemail. The hotline operates Monday through Friday, 8 a.m. to 4:30 p.m., excluding state holidays. For more information, visit the Office of the State Inspector General’s website.

Background on Construction Fraud in Virginia

Construction fraud is a serious issue in Virginia, with various cases highlighting the need for vigilance. For instance, in 2013, a Virginia construction company and its owner were charged with submitting false invoices to the Virginia Department of Transportation on a federally funded road construction project. The charges included violations of the False Claims Act and the Virginia Fraud Against Taxpayers Act. Such cases underscore the importance of transparency and accountability in construction projects to protect both consumers and public resources.

Conclusion

The recent surge in construction fraud in Arlington, Virginia, serves as a reminder for homeowners to remain vigilant when hiring contractors. By adhering to recommended preventive measures and utilizing available resources to report fraudulent activities, residents can help safeguard themselves and the community from deceptive practices.

Frequently Asked Questions (FAQ)

What is construction fraud?

Construction fraud occurs when individuals receive advance payments for construction or improvement services and fail to perform the agreed-upon work or return the advance after sufficient notice. In Virginia, this is defined under §18.2-200.1 of the Code of Virginia. ([arlingtonva.us](https://www.arlingtonva.us/Government/Departments/Police-Department/Financial-Crimes-Information/Construction-Fraud?utm_source=openai))

How can I protect myself from construction fraud?

To protect yourself, avoid hiring door-to-door solicitors offering home improvement services, ensure contractors are licensed and insured, review references and reviews before hiring, and never pay the full amount upfront. ([arlingtonva.us](https://www.arlingtonva.us/About-Arlington/Newsroom/Articles/2025/FRAUD-ALERT-Construction-Scam-Circulating?utm_source=openai))

How do I report suspected construction fraud in Virginia?

Suspected fraud, waste, or abuse within Virginia executive branch agencies and institutions can be reported to the State Fraud, Waste, and Abuse Hotline through various channels, including a toll-free telephone number, email, web form, mail, or voicemail. The hotline operates Monday through Friday, 8 a.m. to 4:30 p.m., excluding state holidays. ([osig.virginia.gov](https://www.osig.virginia.gov/program-areas/citizen-services/state-fraud-waste-and-abuse-hotline/frequently-asked-questions/?utm_source=openai))

What should I do if I have been a victim of construction fraud?

If you have been a victim, file a report with the Arlington County Police Department’s Financial Crimes webpage and consider contacting the State Fraud, Waste, and Abuse Hotline. Additionally, you may file a complaint with the Virginia Department of Professional and Occupational Regulation. ([arlingtonva.us](https://www.arlingtonva.us/About-Arlington/Newsroom/Articles/2025/FRAUD-ALERT-Construction-Scam-Circulating?utm_source=openai))

What are the penalties for construction fraud in Virginia?

Penalties for construction fraud in Virginia can include criminal charges, fines, and restitution to victims. Specific penalties depend on the circumstances and severity of the offense. ([arlingtonva.us](https://www.arlingtonva.us/Government/Departments/Police-Department/Financial-Crimes-Information/Construction-Fraud?utm_source=openai))

Key Features of Construction Fraud in Arlington, Virginia

Feature Description
Nature of Fraud Individuals posing as contractors offering services like driveway sealing and roof repairs, taking upfront payments without performing the work. ([arlingtonva.us](https://www.arlingtonva.us/About-Arlington/Newsroom/Articles/2025/FRAUD-ALERT-Construction-Scam-Circulating?utm_source=openai))
Preventive Measures Avoid hiring door-to-door solicitors, ensure contractors are licensed and insured, review references, and never pay the full amount upfront. ([arlingtonva.us](https://www.arlingtonva.us/About-Arlington/Newsroom/Articles/2025/FRAUD-ALERT-Construction-Scam-Circulating?utm_source=openai))
Reporting Mechanisms Report suspected fraud to the State Fraud, Waste, and Abuse Hotline via multiple channels, including a toll-free number, email, web form, mail, or voicemail. ([osig.virginia.gov](https://www.osig.virginia.gov/program-areas/citizen-services/state-fraud-waste-and-abuse-hotline/frequently-asked-questions/?utm_source=openai))
Legal Framework Construction fraud is defined under §18.2-200.1 of the Code of Virginia. ([arlingtonva.us](https://www.arlingtonva.us/Government/Departments/Police-Department/Financial-Crimes-Information/Construction-Fraud?utm_source=openai))
Consumer Protection Homeowners are encouraged to report suspicious activities to the ACPD’s Financial Crimes webpage and to file online police reports if they have been targeted or victimized by such scams. ([arlingtonva.us](https://www.arlingtonva.us/About-Arlington/Newsroom/Articles/2025/FRAUD-ALERT-Construction-Scam-Circulating?utm_source=openai))


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VIRGINIA STAFF WRITER
Author: VIRGINIA STAFF WRITER

The VIRGINIA STAFF WRITER represents the experienced team at constructionvanews.com, your go-to source for actionable local news and information in Virginia and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Virginia Build Expo, major infrastructure projects, and advancements in construction technology showcases. Our coverage extends to key organizations like the Associated Builders and Contractors of Virginia and the Home Builders Association of Virginia, plus leading businesses in construction and legal services that power the local economy such as CMiC Global and Williams Mullen. As part of the broader network, including constructioncanews.com, constructionnynews.com, and constructiontxnews.com, we provide comprehensive, credible insights into the dynamic construction landscape across multiple states.

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