Update II: DAV Construction Searched by Federal Agents

Alan Hope

The subject of a federal law enforcement search at a North Little Rock office on Wednesday was DAV Construction Co., according to a statement issued Thursday afternoon by Powers of Arkansas.

DAV Construction and Powers of Arkansas, an HVAC contractor, share offices in the NorthShore Business Park, and Alan Hope, CEO of Powers of Arkansas, is listed with the Secretary of State’s office as an officer of DAV.

The Cantrell Road offices of Kullander Construction Co. — a Little Rock business owned by another DAV officer, Mikel Kullander — was also subjected to a search on Wednesday, Arkansas Business has confirmed.

Steve Davison of Beechwood Consulting Inc. of Little Rock said the U.S. Army Criminal Investigation Command agents that Arkansas Business reporters photographed outside Powers of Arkansas on Wednesday were joined by investigators from other federal agencies, including the General Services Administration, the Food & Drug Administration and the Office of the Inspector General for Veterans Affairs.

Here’s the complete statement Davison issued on behalf of Powers of Arkansas:

“Yesterday, federal investigators engaged in an investigation into DAV Construction Company, which is a service-disabled, veteran-owned small business in Little Rock that has been awarded contracts with the Veterans Administration and other federal entities.

“Powers of Arkansas has worked as a subcontractor to DAV Construction Company and other service-disabled, veteran-owned companies and was served a warrant by the federal investigators regarding information about DAV Construction Company. Powers of Arkansas has cooperated completely with the federal Authorities and has provided all requested information. DAV Construction Company is the focus of this investigation.

“Powers of Arkansas is open for business and will continue to serve its customers statewide. Powers of Arkansas is celebrating 30 years of business in Arkansas this year. Powers of Arkansas has employees throughout the state and offices in North Little Rock, Springdale and Heber Springs and serves commercial, state and federal clients all over the state. Powers of Arkansas offices in Springdale, AR and Heber Springs, AR were not involved in the investigation.”

Powers of Arkansas advertises on its website that it is a federal General Services Administration vendor. The federal transparency website USASpending.gov shows that Powers of Arkansas has worked on 195 government contracts totaling $4.1 million since late 2007, both as a prime contractor and as a subcontractor.

DAV has had more than $19 million in federal contracts.

Kullander Construction has had government contracts worth about $3 million.

Powers of Arkansas was named Arkansas Business of the Year in the category of 76-300 employees in 2011.