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Misiewicz and Francis moved Navy vessels like chess pieces, diverting aircraft carriers, destroyers and other ships to Asian ports with lax oversight where Francis could inflate costs, the criminal complaint alleges. The firm overcharged the Navy millions for fuel, food and other services it provided, and invented tariffs by using phony port authorities, prosecutors say.

“It’s pretty big when you have one person who can dictate where ships are going to go and being influenced by a contractor,” said retired Rear Adm. Terry McKnight, who has no direct knowledge of the investigation. “A lot of people are saying, `How could this happen?’“

So far, authorities have arrested Misiewicz; Francis; the general manager of global government contracts for Francis’ company, Alex Wisidagama; and a senior Navy investigator, John Beliveau II.

Beliveau is accused of keeping Francis abreast of the probe and advising him on how to respond in exchange for such things as luxury trips and prostitution services. All have pleaded not guilty. Defense attorneys declined to comment.

Senior Navy officials said they believe more people likely will be implicated in the scheme, but it’s too early to tell how many or how high this will go in the naval ranks. Other unnamed Navy personnel are mentioned in court documents as getting gifts from Francis.

He’s a larger-than-life figure. “You talk to any captain on any ship that has sailed in the Pacific and they will know exactly who he is

Francis is legendary in military circles in that part of the world, said McKnight, who does not know him personally. He is known for extravagance. His 70,000-square-foot bungalow in an upscale Singapore neighborhood has drawn spectators yearly since 2007 to its lavish, outdoor Christmas decorations, which The Straits Times described as rivaling the island city-state’s main shopping street with replicas of snowmen, lighted towering trees, and Chinese and Japanese ornaments.