Union Mayor, Zoning Director Sentenced for Corruption

United States Attorney W. Walter Wilkins announced the sentencing of Union’s former two-term Mayor, E. Bruce Morgan, and Union’s former Building and Zoning Director, Jeffery Lawson. United States District Judge Henry F. Floyd sentenced Morgan, age 57, to 71 months in federal prison, followed by a three-year term of supervised release. Judge Floyd sentenced Lawson, age 40, who cooperated and acted in an undercover capacity to help build the case against Morgan, to 12 months and one day in federal prison, followed by a three-year term of supervised release. Judge Floyd also ordered both defendants to pay restitution and to forfeit the proceeds of their illegal activities.

Both defendants were charged on July 18, 2008, in a seven-count indictment with conspiring to extort over $30,000.00 in bribes or kickbacks from contractors seeking business with the City of Union, South Carolina. The indictment charged that both defendants used their positions to award contracts in return for illegal kickbacks paid directly to them. The indictment also charged both defendants with multiple acts of using their official positions to extort payments in violation of federal law.

Both defendants entered pleas of guilty to two counts of the Indictment before Judge Floyd on September 16, 2008. Both defendants pled guilty to Count One, charging conspiracy, and they each also pled guilty to an additional count (Morgan, to Count 7; Lawson, to Count 5) of extorting payments under color of law.

Morgan and Lawson operated a “pay to play” scheme in which they used their positions as city officials to extort money from at least four contractors seeking business with the City of Union. Rather than award contracts to the lowest bidder, Morgan and Lawson would identify potential contractors who might be willing to engage in their “pay to play” scheme, and then Lawson approached the contractors and offered to award them contracts in return for kickbacks. In one instance, Morgan handled the recruitment of the contractor; in all four scenarios Morgan and Lawson split the proceeds of their illegal scheme.

The scheme unraveled when one of the contractors solicited by Lawson approached the FBI. Agents with the FBI and SLED then arranged to make undercover bribe payments directly to Lawson. On July 2, 2008, agents approached Lawson after he accepted a $5,000.00 kickback. Lawson immediately confessed, named Morgan as his co-conspirator, and told agents about the three other contractors from whom he and Morgan had extorted payments. Lawson also agreed to act in an undercover capacity and wear a recording device while making payments to Morgan. Lawson then made two separate undercover payments to Morgan on July 3, 2008. FBI and SLED agents then conducted interviews of the other contractors identified by Lawson to solidify the case against Morgan.

Mr. Wilkins stated that the case was investigated by agents of the FBI and SLED working together on the Public Corruption Task Force, and noted that this case was the result of a long-term undercover operation in the Upstate. Mr. Wilkins stated that both Morgan and Lawson continue to cooperate, and the investigation into corrupt activities in Union County has expanded as a result. Mr. Wilkins noted that other charges are expected in the near future, and added that his office and the agencies working on the Public Corruption Task Force are committed to the pursuit and prosecution of government officials who use their offices to commit crimes in violation of the public trust.

This case was prosecuted by Assistant United States Attorney Mark Moore of the Columbia office.