Pittsburgh-area Businessman Sentenced In Fraud Scheme

PITTSBURGH – The owner of Carnegie-based Victory Security Agency was sentenced today in federal court to three years’ probation and a $30,000 fine payable within 30 days on his conviction of conspiracy, bribery of agent of an organization receiving federal funds and mail fraud, United States Attorney David J. Hickton announced today.

U.S. District Judge Cathy Bissoon imposed the sentence on Arthur J. Bedway, Jr., 64, of Pittsburgh, Pa.

According to the evidence presented to the court at the time Bedway entered a guilty plea on Aug. 6, 2013, Bedway owned Victory Security. In order to obtain a contract with the City of Pittsburgh to install radios and mobile data terminals (MDTs) in City Police vehicles, Bedway created Alpha Outfitters, which he falsely represented to the City as a Women's Business Enterprise. He conspired with a city employee, Christine Ann Kebr and others, to obtain the MDT contract for Alpha Outfitters. Bedway paid Kebr for her assistance in obtaining the MDT contract. Kebr pleaded guilty to a charge on conspiracy on Dec. 6, 2012, and is scheduled to be sentenced on Feb. 11, 2014.

Assistant United States Attorneys Robert S. Cessar and Lee J. Karl are prosecuted this case on behalf of the government.

U.S. Attorney Hickton commended the Federal Bureau of Investigation and Internal Revenue Service - Criminal Investigation for conducting the investigation that led to the prosecution of Bedway.