Hughes Worker Pleads Guilty in Kickback Case
A Hughes Aircraft Co. employee from La Habra pleaded guilty Monday to two charges of soliciting and accepting kickbacks from two defense subcontractors for Hughes’ Ground Systems Group in Fullerton.
Donald Wright, 47, of La Habra admitted in U.S. District Court in Los Angeles that he demanded a $500 monthly kickback from one of the suppliers, Bergquist Co. of Long Beach, which manufactures computer-display systems for U.S. Navy surface ships, according to Carole Levitzky of the U.S. attorney’s office.
In return for the money, Wright offered to qualify Bergquist as an approved source for radar parts for the Navy, Levitzky said.
Wright also pleaded guilty to a second charge alleging that he accepted a kickback from Lyn-Tron Inc. in Burbank on Oct. 31 in exchange for placing the firm on a “preferred vendor list” for parts used in the Navy computer-display systems. The alleged payoff was set up as part of a FBI “sting” operation.
Stephen A. Mansfield, assistant U.S. attorney, said that both Bergquist and Lyn-Tron cooperated with the federal investigation. Hughes also provided limited assistance, Mansfield said. “Neither Bergquist nor Lyn-Tron were guilty of anything,” Mansfield said. “They should be commended for bringing the illegal activities to our attention as quickly as possible.”
Mansfield said Wright approached Bergquist and demanded payment from the company. Instead of paying, Bergquist officials contacted the FBI.
Lyn-Tron also complained that it had been approached by Wright in a kickback scheme. The FBI arranged a sting in which Wright allegedly solicited and received an $800 payment from Lyn-Tron.
Mansfield said the investigation that has lasted several months is continuing, but he declined further comment. He also declined to say whether Wright is cooperating in the investigation.
Levitzky said Wright faces a maximum sentence of 10 years in prison and a $250,000 fine on each of the two charges. Sentencing was set for March 4 in federal court in Los Angeles.
Wright was a components engineer for the Hughes’ division in Fullerton. His responsibilities included selecting certain suppliers as approved vendors for Hughes’ contracts. A spokesman for the company declined comment.
