NEWS RELEASE
UNITED STATES ATTORNEY'S OFFICE
WESTERN DISTRICT OF VIRGINIA

John L. Brownlee
United States Attorney
Heidi Coy
Public Affairs Specialist BB&T Building
310 1st Street, S.W., Room 906
Roanoke, Virginia 24011
(540) 857-2250
FAX (540) 857-2180

February 6, 2007

Contractor Indicted In “Operation Big Coon Dog”

United States Attorney John L. Brownlee announced today that James Frederick “Rick” Byrd, age 56, of Landrum, South Carolina, and Byrd Brothers, Inc., of Wilson, North Carolina were indicted by a federal Grand Jury sitting in Abingdon, Virginia.

Both defendants were charged in a two count indictment with Program Fraud and Money Laundering Conspiracy. These charges arose out of an investigation begun from allegations of public corruption surrounding the Hurley Flood of May 2002 in Buchanan County, Virginia. To date there have been 18 convictions in an investigation dubbed “Operation Big Coon Dog” which largely involved local contractors paying bribes to county officials to obtain bridge work and clean up contracts. For less than thirty days prior to the involvement of the local contractors, Byrd Brothers was the sub-contractor in charge of clean up efforts. It is charged in the Indictment that “Rick” Byrd, as agent for Byrd Brothers, paid two bribes to Buchanan County Chairman of the Board Ray Blankenship in order to obtain the latter’s influence in Byrd Brothers dealings with the County. These bribes were concealed and disguised as legitimate payments to Byrd Brothers’ sub-contractors.

If convicted on all counts, the maximum penalty faced by the defendant is 30 years imprisonment and/or a fine of $750,000.

The investigation of the case was conducted by Special Agent Phillip Barnett for the Internal Revenue Service and Special Agent Tom Snapp with the Federal Bureau of Investigation. Criminal Chief Thomas J. Bondurant, Jr., will prosecute the case. For further information, please contact Mr. Bondurant, at (540) 857-2379.

A Grand Jury indictment is only a charge and not evidence of guilt. The defendant is entitled to a fair trial with the burden on the government to prove guilt beyond a reasonable doubt.