Operation Big Coon Dog

Operation Big Coon Dog was an investigation by the United States Federal Bureau of Investigation (FBI) and the Internal Revenue Service (IRS) into alleged corruption surrounding the use of federal and state disaster recovery funds by public officials in Buchanan County, Virginia, United States following severe flooding in the town of Hurley in May 2002. The investigation resulted in the criminal conviction of sixteen people, including several public officials and other government employees, on charges of bribery and fraud. It has been called the largest public corruption case in western Virginia in decades[1][2] and a step towards uncovering a "dark culture of corruption in Buchanan County".[2]

Flood

On May 2, 2002, Buchanan County experienced heavy showers and thunderstorms throughout the day. In the town of Hurley, Virginia, 4.5 inches of rain fell during the course of a few hours, causing local streams and rivers to swell.[3] Between 2:00pm and 3:30pm, Knox Creek, which ran through the town of Hurley, had overflowed its banks and submerged the town in up to twelve feet of water. Roads were washed out, and emergency personnel were not able to reach the town until 7:00pm that night.[3][4] Two people were killed, and 98 families (the majority of the town's residents) were left without homes. In addition, 19 county bridges and 102 private bridges were destroyed, blocking access to 235 homes in the area.[5]

Shortly after the flood, the Federal Emergency Management Agency (FEMA) and the Virginia Department of Emergency Management agreed to reimburse Buchanan County for up to $7.1 million for debris removal and other recovery efforts. Initial cleanup efforts were performed by Disaster Recovery Contractors, subcontracted by the U.S. Army Corps of Engineers. However, county officials objected to the use of external contractors and requested that local contractors be hired instead. FEMA approved the request and allowed the Buchanan County Board of Supervisors to select the contractors and oversee cleanup efforts starting in June 2002.[6]

The recovery funds, which the county was given permission to award without competitive bidding, were awarded to local contractors and vendors who were later discovered to have paid approximately $545,000 worth of bribes in order to obtain these contracts.[1] Some of the bribes accepted by county officials included all-terrain vehicles, NASCAR tickets, $40,000 worth of coon dogs, and $350,000 in cash.[7][8]

Trial and conviction

In June 2004, federal investigators arrested sixteen men on charges of bribery, fraud, and money laundering. The criminal trial began in June 2005 with Assistant U.S. Attorney Thomas Bondurant, Jr. as lead prosecutor.[2] In July 2005, all sixteen men were convicted: six local government officials, nine businessmen, six companies, and one federal FEMA agent. All but one pleaded guilty.[9]

Public officials and government employees

Businessmen and contractors

The following businessmen and contractors were convicted of paying bribing public officials to receive contracts and rigging contract bids:

Civil trial

After the corruption was discovered, federal and state government agencies refused to reimburse the county for the misused funds, resulting in a loss of $2.7 million for the county.[8] In 2005, Buchanan County filed a civil suit to recover these funds.[15]

In March 2006, U.S. Attorney John L. Brownlee provided the county with $1,050,544 that had been forfeited by the defendants named in the suit.[8] The civil trial continued, and in June 2008, a federal jury awarded the county another $500,000 from two corporations named in the suit, Vansant Lumber Co. and KJ Stephens and Associates.[15] However, this verdict was overturned by U.S. District Judge James P. Jones in October 2008.[16]

References

  1. 1 2 3 4 Bowman, Rex. Three admit their guilt in bribery scheme. Richmond Times-Dispatch. August 14, 2004.
  2. 1 2 3 4 5 6 Bowman, Rex. Prison for Buchanan officials; three ex-supervisors sentenced in scandal over contract bribery. Richmond Times-Dispatch. July 15, 2005.
  3. 1 2 Storm Data and Unusual Weather Phenomenon. May 2002. National Weather Service. Retrieved on 2009-03-18.
  4. ↑ Hurley flood response hits high water mark. Emergency Management Update. Virginia Department of Emergency Management, June 2002. Retrieved on 2009-03-18.
  5. ↑ Love floods Appalachian village. Kim, Susan. June 29, 2002. Disaster News Network. Retrieved on 2009-03-18.
  6. 1 2 3 4 United States of America vs. Kenneth Joseph Stephens. U.S. District Court, Western District of Virginia, Abingdon Division. Entered July 13, 2005.
  7. 1 2 'Operation Big Coon Dog' buzz bemuses, angers Grundy folks. McCaffery, Jen. Roanoke Times. June 26, 2004.
  8. 1 2 3 Feds Deliver $1.05 Million. St. Clair, Cathy. Virginia Mountaineer. March 9, 2006.
  9. 1 2 Lakin, Matthew. Contractor is guilty in bid-rig trial; jury convicts lone holdout after 15 plea deals in probe of Buchanan flood cleanup. Richmond Times-Dispatch. April 14, 2005.
  10. 1 2 Buchanan County Seeks To Recover Money It Says It Lost Due To Bribery Scandal. Gilbert, Daniel. June 4, 2008. Bristol Herald Courier. Retrieved on 2009-03-17.
  11. ↑ McCaffery, Jen. Defendant's cooperation challenged. Roanoke Times and World News. August 14, 2004.
  12. 1 2 Crackdown reverberates across coon hunting circuit. McCaffery, Jen. Roanoke Times & World News. August 13, 2004.
  13. 1 2 3 Buchanan County, VA v. Stuart Ray Blankenship, et al. U.S. District Court, Western District of Virginia, Abingdon Division. Entered August 3, 2007.
  14. ↑ Ex-official admits to steering contracts. Richmond Times-Dispatch. December 16, 2004.
  15. 1 2 Big Coon Dog lawsuit trees little cash. Hammack, Laurence. Roanoke Times. June 7, 2008.
  16. ↑ Judge tosses bribery verdict in Buchanan County. Gilbert, Daniel. Bristol Herald Courier. October 1, 2008.
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