January 22, 2019

US contractor pleads guilty to FCPA and federal program bribery conspiracy charges

An American contractor, Frank James Lyon, entered a plea of guilty in United States District Court for the District of Hawaii to charges of conspiring to violate the anti-bribery provisions of the FCPA, 15 U.S.C. §78dd-2, and to violate the federal program bribery provisions of 18 USC §666(a)(2).  According to the stipulated facts, Lyon owned an engineering company in Hawaii that obtained contracts with the government of the Federated States of Micronesia (FSM) to improve airport infrastructure in the FSM.  Lyon and co-conspirators channeled bribe payments, including the payment of personal travel expenses,  of approximately $200,000 to two FSM officials between 2006 and 2016 in order to secure contracts valued at $7.8 million. The  federal programs bribery conspiracy charge related to a $240,000 bribe to officials of a Hawaiian state agency in exchange for a $2.5 million contract.

Plea agreement