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Retired Colonel Pleads Guilty to Wire Fraud
A shocking case of corruption has hit the Orleans Parish Sheriff’s Office, as retired Colonel Roy Austin, 69, of St. Tammany Parish, has pleaded guilty to conspiracy to commit wire fraud.
According to court documents, Austin admitted to arranging security details through his private company, Austin Sales and Service, for local entities and events, including Mardi Gras Krewes, music and food festivals, and sporting events. However, he engaged in a scheme to defraud those entities and events by padding the billing documents with names of individuals who did not provide any security services.
Austin further admitted that after submitting the fraudulently inflated invoices via interstate wires, he kept a portion of the overbilled amount in the Austin Sales and Service corporate bank account for his own personal use. In some instances, Austin drafted corporate checks made payable to the ‘Ghost Employees’ who did not work and then fraudulently endorsed those checks and deposited them into his personal bank account.
The scope of Austin’s scheme is staggering, with the retired colonel also admitting to drafting checks made payable to other OPSO employee(s)’ family members under the fraudulent guise of payments for detail work that did not take place.
Austin faces statutory penalties of up to five years in prison, a $250,000 fine, and three years of supervised release. U.S. District Judge Kurt D. Engelhardt has set sentencing for August 3, 2016.
U.S. Attorney Kenneth A. Polite praised the work of the Federal Bureau of Investigation in investigating this matter and acknowledged the assistance provided by the Louisiana Legislative Auditors. Assistant U.S. Attorney Sean Toomey is in charge of the prosecution.
The case is a stark reminder of the pervasive corruption that can occur in even the highest levels of law enforcement. As the Grimy Times continues to investigate this story, one thing is clear: those responsible for this egregious abuse of power will be held accountable.
Key Facts
- State: Louisiana
- Category: Public Corruption|Fraud & Financial Crimes
- Source: DOJ Press Release â†â€â€
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