Retired Army Reserve Colonel Pleads Guilty
To Misdemeanor Charge of Self-Dealing
KANSAS CITY, KAN. – A retired colonel in the U.S. Army Reserve has pleaded guilty to a federal misdemeanor charge of self-dealing in connection with a government contract to a company he owned, U.S. Attorney Barry Grissom said today.
Antonio Monaco, 60, Leavenworth, Kan., who was a member of the 89th Army Reserve Command in Wichita, Kan., pleaded guilty to one count of self-dealing in government contracts. In his plea, he admitted that in 2005 in his capacity as a colonel of the U.S. Army Reserve he attended a presentation by a U.S. Department of Defense contractor to the 84th Training Command regarding data and video compression software. After the presentation, Monaco suggested to the contractor that a company he founded, Keystone Group, Inc., be the entity to provide the exclusive software for the task. In doing so, he participated personally and substantially, though not willfully, as a government officer in a contract in which he had a personal interest.
In Aug. 2005, the contractor learned that Monaco owned Keystone Group, Inc., and took action not to direct funds from the contract to the Keystone. Monaco already delivered the software as part of the contract and the Army continued to use the software from Keystone. Monaco dropped the request for payment. As a result, neither he nor his company received payment.
Sentencing is set for Jan. 15. He faces a maximum penalty of one year in prison and a fine up to $100,000. Grissom commended the U.S. Army Criminal Investigation Division and Assistant U.S. Attorney Scott Rask for their work on the case.