Transcript for Federal indictment reveals growing and sordid bribery scandal in the Navy

Next, this evening, new indictments tonight, in one of the worst corruption scandals in U.S. Navy history. Nine officers, charged in a scheme to trade classified information in exchange for bribes, lavish parties and sexual favors. ABC's global affairs correspondent, Martha Raddatz tonight. Reporter: Tonight a federal indictment revealing a growing and sordid bribery scandal for the Navy. Nine current and former officers accused of swapping secrets for lavish meals, hotel rooms and parties with prostitutes. The highest ranking, rear admiral Bruce loveless, now retired. A former intelligence officer for the 7th fleet. Prosecutors say defense contractor Leonard Francis, nicknamed "Fat Leonard," seen here in this Navy league photo, bribed his so called "Wolf pack" of officers in exchange for classified information and preferential access for his company servicing ships in the pacific. This is a level of corruption in rot that is unprecedented in the history of the United States Navy. Reporter: One dinner bill in Hong Kong, topping $20,000. Another raunchy party allegedly held at the Macarthur suite in Manila, seen here on the hotel's website. All the while, prosecutors say the company was overcharging bilking the Navy out of tens of millions of dollars. And Martha Raddatz with us here in New York tonight. This investigation has been going on for quite some time now. How many officers now involved? Reporter: Really epic numbers, David. 20 former or current Navy officers charged in this scandal. Admiral loveless put in a not guilty plea, but the chief says this behavior is inconsistent with our standards, and is an embarrassment to the Navy. He says they are fully cooperating with law enforcement, but this is not over, David. Always great to have you in person. We move on now to the deadly

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