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Navy fires president, provost of grad school

Associated Press Modified: November 27, 2012 at 11:16 pm •  Published: November 27, 2012

WASHINGTON (AP) — Navy Secretary Ray Mabus has fired the top two administrators of the Naval Postgraduate School in Monterey, Calif., for mismanagement and fostering an atmosphere of defying Navy rules and regulations.

The firings of the school's president and provost come after an investigation by the Navy's inspector general. It found that the president, Daniel Oliver, failed to comply with federal and naval regulations, circumvented federal hiring authorities and inappropriately accepted gifts from a private foundation that supports the school.

The investigation also found that the provost, Leonard Ferrari, did not comply with Navy regulations and accepted gifts from the foundation.

According to the IG report, Oliver arranged for an unidentified woman to be hired as a contractor so that she could be paid more money than the school could legitimately offer. The report said Oliver circumvented federal salary limits after the applicant turned down the school's initial salary offer of $162,000, with a recruitment bonus of $25,000, according to the IG report. The offer was the maximum allowed under federal salary caps at that time, in 2009.

The report said Oliver arranged for an existing school contractor — Digital Consulting Services — to hire the woman, for a salary of $275,000, which she accepted.

"We conclude President Oliver's conduct amounts to waste and gross mismanagement," the IG report said.

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