Ex-U.S. agent from Arkansas sentenced for conflict-of-interest deal

A former U.S. Department of Agriculture contractor was sentenced Monday to three years' probation and was ordered to pay a $10,000 fine for awarding a contract to a company in which his wife had a financial interest.

Larry Dale Dunkin, 64, of Cabot pleaded guilty in February to a felony charge of conflict of interest. He admitted that while working in 2013 for the USDA's Natural Resources Conservation Service, which provides technical assistance to farmers and other private landowners and managers, he awarded a $22,500 contract to Young Enterprises LLC.

Dunkin's wife was a part owner of the company, whose mailing address was listed at the secretary of state's office as the same address where the Dunkins live, according to the U.S. attorney's office.

After the contract work was complete, the USDA wired payment directly to the bank account shared by Dunkin and his wife, federal prosecutors said. They said he then redirected a $26,250 contract from a title company, a legitimate USDA subcontractor, to his wife's company, giving himself and his family a $48,750 benefit altogether, although only a small part of the money was considered a profit.

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Theodis Thompson Jr. of Little Rock, who represented Dunkin at his sentencing hearing before Chief U.S. District Judge Brian Miller, argued that it would be wrong to fine Dunkin $48,750, as the government requested, because the work that was contracted for was performed.

Assistant U.S. Attorney Hunter Bridges argued that because the government wasn't out any money as a result of the conflict of interest, no restitution could be collected, but that an amount equal to both contracts should be applied as a fine, to deter others from similar actions. He described the services performed by the company partly owned by Cheryl Young Dunkin as "some type of computer work for land surveys."

Dunkin told the judge that Young Enterprises was the low bidder, having sought $6,000 less than the nearest competitor. He also argued that the USDA knew when the contract work was being performed that his wife had an interest in the company, but "went along with it."

"I think their not telling me to cancel it was implied consent," he argued.

Miller imposed a $10,000 fine as a deterrent to other contractors who might otherwise overlook a conflict of interest. He also ordered Dunkin, who is now retired, to perform 100 hours of community service, as directed by the federal probation office, during the first six months of his probation.

Metro on 05/09/2017

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