Two ex-National Grid workers in bribe scheme to be sentenced Friday

Two of the five former National Grid employees who pleaded guilty to steering contracts to preferred vendors in exchange for cash, vacations and college tuition payments face up to 30 months in prison when they're sentenced in federal court on Friday 

The five men, who handled maintenance contracts for the natural-gas supplier and power plant operator, pleaded guilty last year to violating the Travel Act, which makes it a federal crime to use interstate facilities to carry out unlawful activities.

Prosecutors have recommended sentences of 24-30 months in prison for Richard Zavada and Patrick McCrann, the two men scheduled to be sentenced Friday, according to a recent filing.

The other three are expected to be sentenced later this month or in June.

Prosecutors in a filing in late February provided new details of the actions by the men, some of whom were listed as being more deeply involved in the scheme than others.

“While each of the defendants engaged in similar conduct, and despite the fact that the defendants did not operate in concert according to an established hierarchy, there are several distinguishing factors that bear on their relative culpability,” prosecutors at the U.S. Attorney’s Office for the Eastern District wrote.

Zavada and McCrann were managers who worked for National Grid for 33 and 37 years, respectively. According to prosecutors, the two “engaged in the offense conduct for longer periods of time than the other defendants, and reaped larger amounts of illicit proceeds.”

Devraj Balbir, who worked for National Grid for five years, “profited handsomely from the scheme,” receiving more than $250,000 in bribes, prosecutors said. A cooperating witness who was not identified recorded a meeting in which Balbir provided a company "change order" with handwritten notes that instructed the witness to inflate an invoice by $80,000 “to facilitate a kickback to Balbir," prosecutors charged. The change was never made.

Prosecutors are requesting Zavada and Balbir receive 24 to 30 months in prison, in part based on bribe payments they received of more than $250,000. McCrann’s requested prison time is 18 to 24 months, prosecutors wrote, for receiving bribes of more than $150,000.

Edward Palermo, a lawyer for Zavada, said, "We do not believe Mr. Zavada was any more culpable in his conduct than any of the other defendants in this case." 

He noted that Zavada's conduct "since the inception of this case has consistently evidenced his complete acceptance of responsibility and sincere remorse." Additionally, Palermo said Zavada "has agreed to pay back all monies which he received through his conduct in this case."

Andrew Karpf, an attorney for McCrann, said he'll be requesting that his client receive home confinement rather than prison time. 

"I don’t wholeheartedly agree with the government's position concerning their tiered category system relative to each defendant as I believe they did not apply criteria in an even manner," Karpf said in an email. 

Ricardo Garcia, the filing states, did not engage in any obstructive conduct and was truthful with law enforcement from the outset. He received bribes of more than $95,000 and prosecutors advised he serve 12 to 18 months in prison.

Jevan Seepaul worked the fewest years at National Grid and engaged in the scheme for the “briefest period of time,” with the least authority over contracts. He received bribes of more than $95,000 and prosecutors advised he serve 12 to 18 months in prison.

Jeffrey Lichtman, an attorney for Seepaul, said his client was a “very minor player in this case, in an industry where this behavior is not only commonplace but expected. He immediately accepted responsibility for his actions and looks forward to moving past this.”

Lawyers for the other men did not return messages seeking comment, and a spokesman for the U.S. Attorney’s Office did not comment.

By Mark Harrington

mark.harrington@newsday.comMHarringtonNews

Mark Harrington, a Newsday reporter since 1999, covers energy, wineries, Indian affairs and fisheries.