USAID Rocked by Bribery Scheme Involving Contractors and Federal Official
Four Plead Guilty in Massive $550M USAID Bribery, A massive $550 million bribery scandal has shaken the United States Agency for International Development (USAID), following guilty pleas from four individuals — including a former USAID contracting officer and three private contractors. The scandal, described by the Department of Justice (DOJ) as one of the most serious abuses of trust in recent history, involved elaborate schemes of cash payments, luxury perks, and fraudulent payrolls.
According to DOJ officials, Roderick Watson, 57, a federal contracting officer with USAID, accepted over $1 million in bribes over nearly a decade. His guilty plea, alongside those of Walter Barnes (owner of Vistant), Darryl Britt (owner of Apprio), and subcontractor Paul Young, revealed a complex network of corruption hidden behind seemingly legitimate contracts.
Bribes Hidden Through Shell Companies and Lavish Gifts
The contractors funneled bribes through Young, who acted as a go-between, disguising the illicit payments through false invoices, electronic transfers, and shell companies. According to the DOJ, Watson was rewarded with cash, laptops, NBA luxury suite tickets, a country club wedding, down payments on homes, cell phones, and even jobs for relatives.
“Watson abused his position of trust for personal gain while federal contractors engaged in a pay-to-play scheme,” said Sean Bottary, Acting Assistant Inspector General for Investigations at USAID-OIG. He added, “Corruption in government programs will not be tolerated.”
High-Value Contract Linked to Scandal
The scandal has cast a dark shadow over a major contract USAID awarded in November 2023. As part of a joint venture, Vistant received a contract valued at up to $800 million, focused on tackling the root causes of migration from Central America. The issue had been a key foreign policy priority for the Biden administration, with Vice President Kamala Harris assigned to lead those efforts.
However, shortly after the award, USAID canceled the contract, citing “evidence of conduct of a lack of business honesty or integrity” on Vistant’s part. In a surprising turn, the joint venture successfully sued the federal government, resulting in reinstatement of the contract and a $10,000 settlement payment issued in August 2024.
USAID Targeted by DOGE Anti-Corruption Reforms
The scandal also validates earlier scrutiny placed on USAID during the Department of Government Efficiency (DOGE) reforms, initiated under the Trump administration. The agency faced massive cuts—up to 83%—to its budget, with some critical programs reassigned to the State Department. On February 3, USAID’s website went dark, employees were barred from headquarters, and direct hires were placed on administrative leave.
At the time, critics — including several Democrats and celebrities like Bono — warned the cuts would devastate foreign aid recipients and potentially lead to hundreds of thousands of deaths. However, DOGE officials insisted the effort was necessary to eliminate waste, fraud, and abuse.
USAID’s Controversial Spending Under Fire
USAID had come under growing scrutiny for questionable projects. These included a $1.5 million DEI initiative in Serbia and a $70,000 “DEI musical” in Ireland. Investigations also uncovered disturbing examples of U.S. taxpayer funds allegedly reaching terror-linked individuals, including payments that reportedly funded al-Qaeda cleric Anwar al-Awlaki’s college education in Colorado.
“The public deserves a government that uses their tax dollars with integrity,” said Matthew R. Galeotti, head of the DOJ Criminal Division. “Anybody who cares about good and effective government should be concerned about the waste, fraud, and abuse in government agencies, including USAID.”
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