Summary

On Tuesday, July 14, 2009, Andrew Catapano, the President of AFC Enterprises, Incorporated, and John Mikuszewski, a consultant to Rosewood Contracting Corporation, were sentenced in U.S. District Court, Brooklyn, New York, for their roles in an elaborate bribery scheme. Mr. Catapano was sentenced to 10 months in jail to be followed by two years of supervised release and 200 hours of community service. In addition, he was ordered to pay a fine of $25,000 and restitution to the IRS in the amount of $60,000. Mr. Mikuszewski was sentenced to serve 5 months in jail to be followed by 5 months of home confinement and two years of supervised release. In addition, he was ordered to pay a fine of $25,000, and restitution to the IRS in the amount of $139,880, which represents back taxes. Prior to sentencing, the defendants paid a forfeiture of $1.2 million to the United States. On December 5, 2008, Mr. Catapano and Mr. Mikuszewski pled guilty to charges of conspiracy to defraud the United States. Both admitted they conspired to bribe union officials and utility company representatives on numerous roadway reconstruction projects awarded by DOT grantees throughout the New York area from 1998 to 2001. FHWA has suspended Mr. Catapano and Mr. Mikuszewski and is considering debarment as a result of their conviction.