A Baltimore County business owner, Wayne I. Kacher, Jr., has been sentenced to 20 months in federal prison for conspiracy, honest services wire fraud, and federal program bribery. The sentencing by U.S. District Judge Stephanie A. Gallagher follows Kacher's conviction by a federal jury on May 21, 2024, after a seven-day trial.
U.S. Attorney for the District of Maryland, Kelly O. Hayes, announced the sentence alongside William J. DelBagno, Special Agent in Charge of the FBI’s Baltimore Field Office, and Christopher Dillard, Special Agent in Charge of the Department of Defense Office of Inspector General's Defense Criminal Investigative Service Mid-Atlantic Field Office.
Evidence presented during the trial revealed that the Maryland Broadband Cooperative, Incorporated (MdBC), a not-for-profit corporation dedicated to expanding broadband service in underserved Maryland areas, was involved in the scheme. The cooperative worked with internet-service providers and allowed entities access to its infrastructure for a fee. William Patrick Mitchell, the president and CEO of MdBC, was based in Salisbury, Maryland.
Kacher, who owned Bel Air Underground, Inc. (BAU), was frequently subcontracted by MdBC. Between 2014 and 2018, MdBC paid BAU over $11 million for broadband-related work. This included approximately $7.9 million for a fiber-optic connection project between NASA Wallops Island and Patuxent River Naval Air Station.
The trial showed that Kacher provided financial incentives to Mitchell, including cash and items like an all-terrain vehicle to secure subcontracting work from MdBC. Other benefits included payment for building improvements on Mitchell’s property.
Judge Gallagher previously sentenced Mitchell to one year and one day for his involvement in the bribery scheme on October 7, 2024.
U.S. Attorney Hayes commended the collaborative work of the FBI and DCIS in the investigation and acknowledged the efforts of Assistant U.S. Attorneys Matthew P. Phelps and Christine Goo for prosecuting the case.
More information on the Maryland U.S. Attorney’s Office and how to report fraud can be found on their official website.