Three maryland u. S. Aid officials plead guilty $550 million contract bribery scheme

BALTIMORE, MD — Four men, including a contracting officer for the United States Agency for International Development (USAID) and three business owners, have pleaded guilty to charges stemming from a decade-long bribery scheme that steered more than $550 million in government contracts.

Roderick Watson, 57, of Woodstock, Maryland, who worked as a USAID contracting officer, admitted to bribery of a public official. Walter Barnes, 46, of Potomac, Maryland, owner and president of PM Consulting Group LLC (doing business as Vistant), pleaded guilty to conspiracy to commit bribery of a public official and securities fraud. Darryl Britt, 64, of Myakka City, Florida, owner and president of Apprio, Inc., and Paul Young, 62, of Columbia, Maryland, president of a subcontractor to Vistant and Apprio, also pleaded guilty to conspiracy to commit bribery.

The companies Vistant and Apprio agreed to deferred prosecution agreements (DPAs) and admitted to criminal liability for their roles. The DPAs require both companies to implement compliance programs, cooperate with the Department of Justice, and report on remediation efforts.

“The defendants sought to enrich themselves at the expense of American taxpayers through bribery and fraud,” said Matthew R. Galeotti, Head of the Justice Department’s Criminal Division.

Details of the bribery scheme

Court documents reveal that from 2013, Watson used his influence at USAID to award contracts to Apprio and later to Vistant. In exchange, Britt and Barnes paid Watson bribes disguised through various means, including cash payments, lavish gifts, mortgage down payments, tickets to NBA games, and employment opportunities for relatives. Many payments were funneled through Young and concealed through shell companies and false invoices.

Watson allegedly received more than $1 million in bribes over the course of the scheme. The corruption extended to manipulating the procurement process by providing inside information, securing favorable evaluations, and recommending contract awards without competitive bidding.

“Watson exploited his position at USAID to line his pockets with bribes in exchange for more than $550 million in contracts,” said Chief Guy Ficco of IRS Criminal Investigation.

Additional securities fraud charges

In 2022, Barnes and Watson defrauded a licensed Small Business Investment Company (SBIC) by concealing their bribery activities while securing a $14 million loan for Vistant. Barnes used the funds to pay himself a $10 million dividend. Similarly, in 2023, Britt induced a private equity firm to invest $4 million in Apprio and extend a $4 million loan, while withholding details of the bribery scheme.

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