A federal grand jury has indicted Maryland State Senator Ulysses S. Currie, of Forestville, Maryland; and Shoppers Food Warehouse Corporation executives, former president William J. White, of Annapolis, Maryland and Jupiter, Florida; and former vice president for real estate development R. Kevin Small, of Lewisburg, Pennsylvania, in connection with a scheme from 2002 to 2008 in which the supermarket chain allegedly paid Senator Currrie in exchange for using his official position and influence in matters benefitting White, Small, and the supermarket chain. In addition, a separate criminal information was filed against Shoppers Food Warehouse Corp., which has agreed to enter into a deferred prosecution agreement. As part of that agreement, which must be approved by the court, SFW has agreed to pay a $2.5 million penalty. The indictment was announced by United States Attorney for the District of Maryland Rod J. Rosenstein and Special Agent in Charge Richard A. McFeely of the Federal Bureau of Investigation.
The 18-count indictment alleges that soon after Ulysses Currie became chair of the Senate Budget and Taxation Committee in 2002, he asked to be placed on the payroll of Shoppers Food Warehouse Corporation and agreed to use his government office and authority to pursue specific state action to benefit his private employer. Chairman Currie signed contracts reflecting the cover story that he would provide services unrelated to his government office; failed to file legally required conflict-of-interest statements with the Maryland General Assembly’s Joint Committee on Legislative Ethics; and lied under oath on public financial disclosure forms filed with the Maryland State Ethics Commission for five consecutive years, in 2004, 2005, 2006, 2007, and 2008. Meanwhile, Chairman Currie caused to be introduced and voted on legislation to benefit the corporation and sought benefits on its behalf from state officials. The indictment alleges that Chairman Currie prepared a list of 12 specific projects in which he used his Senate office and influence to benefit the supermarket chain, and offered to bring many more government benefits in the future. Chairman Currie wrote that he was in a unique position to assist the supermarket chain in expanding its mission and increasing its bottom line.
The indictment alleges that Currie received payments of $3,000 per month beginning in February 2003, raised to $3,416.67 in July 2004, to $3,800 in June 2007, and ultimately to $7,600 per month in December 2007. In order to conceal his arrangement with White, Small and the corporation, the indictment charges that Chairman Currie did not disclose any income from the corporation on five separate annual ethics disclosures, from 2004 through 2008.
As part of his work for the company, the indictment alleges that Chairman Currie:
- Contacted the Administrator of the State Highway Administration repeatedly in 2003 and 2004, including by a letter on official letterhead of the Senate Budget and Taxation Committee, concerning the supermarket chain’s request for traffic signals at the site of a store on Route 140 in Baltimore County and at the site of a store on Route 198 in Laurel, Maryland;
- Convened meetings in his Senate office, which White and Small attended, with the Secretary of the Maryland Department of Transportation on December 23, 2003, and with the Secretary of the Maryland Department of Business and Economic Development on January 14, 2004, in an effort to secure $2 million in public funds for a project at Mondawmin Mall in Baltimore, to reduce his employer’s costs in opening a supermarket;
- Met with the Chairman of the Prince George’s County Liquor Board in 2004, along with Small, regarding the transfer of a liquor license from one of the supermarket chain’s stores to another, arranged for another senator to introduce legislation necessary to accomplish the transfer, then voted on legislation authorizing the transfer on April 8, 2005, and faxed a copy of the bill from his Senate office to Small on the day the Governor signed it into law;
- Contacted the Maryland Energy Administration in December 2004 to seek a delay in the implementation of energy efficiency standards for chillers and commercial refrigeration units under the Maryland Energy Efficiency Standards Act, at the request of Small, in order to reduce costs to the supermarket chain;
- Convinced government officials in 2006 and 2007 to give up the Maryland-National Capital Park and Planning Commission’s right to purchase land in Chillum owned by the WMATA, so that a portion of the property could be acquired, without competitive bidding, and used to expand one of his employer’s existing supermarkets;
- Convened meetings in his Senate office in 2006 and in 2007 with high-ranking state officials in an effort to obtain a grant of $2 to $3 million for the developer of Ritchie Station Marketplace for the cost of road improvements at the Ritchie-Marlboro interchange, so that the costs would not be passed on to the supermarket chain, which was a prospective tenant.
The indictment alleges that Chairman Currie signed written agreements falsely representing that Currie would assist in minority recruitment and outreach, community relations and public affairs, and “to work with corporate executives to provide visibility and community leadership opportunities, when, in fact, the defendants had agreed that the company would pay Currie to take official acts and to use his official position and influence in ways that would benefit the business and financial interests of White, Small, and the company.
The indictment further alleges that Currie, White, and Small used e-mail and facsimile to carry out the bribery of Chairman Currie; that from 2002 to 2008, Chairman Currie, assisted by White and Small, extorted $245,816.79 from the company to obtain his assistance in his official capacity and during the same time frame used the mail and e-mail to deprive the citizens of Maryland and the State of Maryland of their right to the honest services of Chairman Currie. The indictment also alleges that White and Currie made false statements to FBI agents during the investigation. The indictment seeks forfeiture of $245,816 allegedly paid to Chairman Currie during the scheme.
If convicted, Currie, White and Small face a maximum sentence of five years in prison for the conspiracy; a maximum of five years in prison for each count of bribery; and 20 years in prison for each of two counts of mail and six counts of wire fraud. Currie faces a maximum of 20 years in prison for extortion; Currie and White face a maximum sentence of five years in prison for making a false statement.
White collar crime is defined by the Federal Bureau of Investigation as "those illegal acts which are charcterized by deceit, concealment, or violation of trust and which are not dependent upon the application or threat of physical force or violence. Individuals and organizations commit these acts to obtain money, property, or services; to avoid the payment or loss of money or services; or to secure personal or business advantage." Most white collar crimes include such crimes as fraud, embezzlement, tax evasion, mail fraud and others. White collar usually cause considerable financial losses and are therefore subject to heavy penalties and sentences if convicted. You may even be required to pay restitution.
If you have been charged with federal white collar crime such as conspiracy, bribery, extortion, mail fraud or false statements, you need and experienced federal white collar crimes criminal defense attorney to protect your rights. Attorneys Marks & Brooklier has been representing clients on federal white collar crime charges since 1976. Federal charges are a serious crime that must be handled in t he proper manner to avoid dire legal consequences. The Federal Bureau of Investigation and United States Federal authorities have begun to take a hard look at these type of federal crimes and have placed severe penalties if you are convicted. If you have been charges or under investigation for any type of federal crimes it is vital you contact a Los Angeles and United States federal criminal defense lawyer to protect your legal rights. Contact us for a free, strictly confidential, consultation 24/7.