MARYLAND
Four men—including a former USAID contracting officer and three company presidents—have pleaded guilty to a decade-long bribery scheme tied to over $550 million in U.S. taxpayer-funded contracts, federal officials announced Thursday.
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Roderick Watson, 57, of Maryland, admitted to accepting bribes while serving as a contracting officer for USAID.
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Walter Barnes, 46, of Maryland, president of PM Consulting Group (Vistant), pleaded guilty to bribery conspiracy and securities fraud.
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Darryl Britt, 64, of Florida, president of Apprio Inc., also pleaded guilty to bribery conspiracy.
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Paul Young, 62, of Maryland, a subcontractor for both companies, pleaded guilty to bribery conspiracy.
Vistant and Apprio, both small businesses under the SBA 8(a) program and USAID contractors, admitted criminal liability. They entered into three-year deferred prosecution agreements, which required cooperation with federal investigators, adherence to ethics compliance programs, and regular progress reporting to the DOJ.
“Watson was entrusted to serve the interests of the American people — not his own — and his criminal actions for his own personal gain undermine the integrity of our public institutions,” said U.S. Attorney Kelly O. Hayes for the District of Maryland. “Public trust is a hallmark of our nation’s values, so corruption within a federal government agency is intolerable. This office, along with our law enforcement partners, will continue to pursue and prosecute corruption at every level to ensure accountability and protect public trust.”
Beginning in 2013, Roderick Watson, a USAID contracting officer, accepted more than $1 million in bribes from Darryl Britt (Apprio Inc.) and Walter Barnes (Vistant) to steer lucrative federal contracts their way—bypassing competitive bidding under the SBA 8(a) program for disadvantaged businesses.
Paul Young, a subcontractor, helped conceal the bribes through the use of shell companies, fake invoices, and disguised payroll payments. Perks to Watson included cash, electronics, luxury event tickets, mortgage down payments, and jobs for relatives.
When Apprio aged out of the 8(a) program, Barnes and Britt flipped roles, making Vistant the prime contractor and Apprio the subcontractor, all still funneled through Watson’s influence.
Securities Fraud Schemes
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In 2022, Barnes and Watson deceived a small business investment company (SBIC) into a $14 million loan to Vistant, securing stock warrants and a $10 million dividend for Barnes. Watson misled the lender by hiding his bribe-filled relationship with Barnes.
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In 2023, Britt and Apprio duped another SBIC into investing $4 million and issuing a matching loan, again omitting years of bribery to Watson.
Deferred Prosecution Agreements (DPAs)
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Apprio admitted guilt and accepted a $51.7 million penalty, but citing inability to pay, reached a $500,000 civil settlement under DOJ review.
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Vistant was hit with an $86.4 million penalty, but similarly settled for $100,000 due to financial constraints. Both firms must cooperate, implement ethics programs, and undergo DOJ monitoring.
Sentencing Dates
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Watson: Faces up to 15 years; sentencing Oct. 6
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Young: Up to 5 years; sentencing Sept. 3
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Britt: Up to 5 years; sentencing July 28
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Barnes: Up to 5 years; sentencing Oct. 14
Investigating agencies: FBI, USAID-OIG, and IRS-CI
Prosecutors: DOJ Fraud Section and U.S. Attorney’s Office, District of Maryland.