USAID Official Pleads Guilty to Massive $550 Million Dollar Bribery Scam

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A contracting officer for the U.S. Agency for International Development (USAID) and three corporate executives have now reportedly pleaded guilty to their involvement in a bribery scheme that diverted over $550 million in taxpayer funds.

The Department of Justice (DOJ) announced the charges, which highlight significant corruption within a federal agency designed to promote international development.

Roderick Watson, 57, of Woodstock, Maryland, served as the contracting officer and admitted to accepting bribes beginning in 2013 from Darryl Britt, 64, of Myakka City, Florida.

Britt was seeking to secure contracts for his small business, which was part of a federal initiative aimed at supporting disadvantaged enterprises.

Court documents reveal that Watson received bribes totaling approximately $1 million, which included cash, luxury items, and personal favors.

The scheme involved at least 14 USAID contracts and spanned nearly a decade. After Britt’s company graduated from the federal program, it was replaced by another firm owned by Walter Barnes, 46, of Potomac, Maryland.

Barnes’s firm, initially a subcontractor to Britt’s, subsequently became the prime contractor for USAID projects from 2018 to 2022.

The DOJ detailed various forms of bribery received by Watson, including tickets to NBA games, wedding expenses, and down payments on mortgages.

These illicit payments were orchestrated through Paul Young, 62, the president of another firm that subcontracted to both Britt and Barnes.

All four individuals—Watson, Britt, Barnes, and Young—pleaded guilty to conspiring to bribe a public official, with Barnes also admitting to securities fraud.

The penalties for their actions are significant: Watson faces up to 15 years in prison, while the others could each receive sentences of up to five years.

In addition to personal culpability, both Barnes’s and Britt’s companies acknowledged their roles in the scheme. They have agreed to cooperate with federal authorities, adopt compliance measures, and report on their progress, entering into three-year deferred prosecution agreements.

Britt’s firm will pay a $500,000 civil settlement, while Barnes’s company has agreed to a $100,000 settlement.

Matthew R. Galeotti, head of the DOJ’s Criminal Division, emphasized the seriousness of the offenses, stating, “The defendants sought to enrich themselves at the expense of American taxpayers through bribery and fraud.”

U.S. Attorney Kelly O. Hayes of the District of Maryland added that corruption within a federal agency undermines public trust, a fundamental principle of American democracy.

This case raises crucial concerns about accountability within USAID, an agency that has already faced scrutiny over its spending practices.

The revelations serve as a stark reminder of the vulnerabilities in federal contracting processes and the need for robust oversight to protect taxpayer interests.

As investigations continue, the implications for reform in procurement practices may prompt broader discussions on enhancing transparency and integrity in government operations.

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