11 indicted in FBI bingo probe

Published 11:50 am Monday, October 4, 2010

WASHINGTON — The U.S. Department of Justice has announced the indictment and arrest of 11 people, including four current Alabama state legislators, three lobbyists, two business owners and one of their employees and an employee of the Alabama legislature for their roles in a conspiracy to offer to and bribe legislators for their votes and influence on proposed legislation.

The announcement was made Monday morning by assistant Attorney General Lanny A. Breuer of the Criminal Division and assistant Director Kevin Perkins of the FBI’s Criminal Investigation Division.

The defendants are charged in an indictment returned by a federal grand jury on Oct. 1 in Montgomery, which was unsealed Monday. Various defendants are charged with a variety of criminal offenses, including conspiracy, federal program bribery, extortion, money laundering, honest services mail and wire fraud, obstruction of justice and making a false statement.

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The 11 will made initial appearances Monday in U.S. District Court for the Middle District of Alabama before U.S. Magistrate Judge Terry F. Moorer.

According to the indictment, Milton E. McGregor owned a controlling interest in Macon County Greyhound Park Inc., also known as Victoryland in Macon County, and Jefferson County Racing Association in Jefferson County and ownership interest in other entertainment and gambling facilities in Alabama that offered or sought to offer electronic bingo gambling machines to the public. Ronald E. Gilley owned a controlling interest in the Country Crossing real estate, entertainment and gambling development in Houston County, which also sought to offer electronic bingo gambling machines to the public.

The indictment also alleges that during the 2009 and 2010 Alabama state legislative session, McGregor and Gilley, along with others, allegedly promoted the passage of pro-gambling legislation that would have been favorable to the business interest of individuals operating electronic bingo facilities, including themselves. From February 2009 through August 2010, McGregor, Gilley and their co-defendants allegedly conspired to commit federal program bribery by corruptly giving offering and agreeing to give money and other things of value to Alabama state legislators and staff with the intent to influence and rewrd them in connection with pro-gambling legislation.

The indictment further alleges that Alabama state legislators, including co-defendants state Sens. Larry P. Means, James E. Preuitt, Quinton T. Ross Jr. and Harri Anne. H. Smith Corruptly solicited, demanded and accepted and agreed to accept money and things of value from their co-conspirators and others, intending to be influenced and rewarded in connection with pro-gambling legislation.

A list of those indicted:

  • Milton E. McGregor, 71, of Montgomery, Ala., was charged with one count of conspiracy, six counts of federal program bribery, and 11 counts of honest services mail and wire fraud;
  • Ronald E. Gilley, 45, of Enterprise, Ala., was charged with one count of conspiracy, six counts of federal program bribery, 11 counts of honest services mail and wire fraud, and four counts of money laundering;
  • Jarrod D. Massey, 39, of Montgomery, Ala., was charged with one count of conspiracy, five counts of federal program bribery, and 11 counts of honest services mail and wire fraud;
  • Thomas E. Coker, 70, of Lowndesboro, Ala., was charged with one count of conspiracy, two counts of federal program bribery, and 11 counts of honest services mail and wire fraud;
  • Robert B. Geddie Jr., 60, of Montgomery, Ala., was charged with one count of conspiracy, one count of federal program bribery, 11 counts of honest services mail and wire fraud, and one count of obstruction of justice;
  • Jarrell W. Walker Jr., 36, of Lanett, Ala., was charged with one count of conspiracy, one count of federal program bribery, and 11 counts of honest services mail and wire fraud;
  • Harri Anne H. Smith, 48, of Slocomb, Ala., was charged with one count of conspiracy, two counts of federal program bribery, one count of extortion, 11 counts of honest services mail and wire fraud, and four counts of money laundering;
  • Larry P. Means, 63, of Attalla, Ala., was charged with one count of conspiracy, two counts of federal program bribery, two counts of attempted extortion, and 11 counts of honest services mail and wire fraud;
  • James E. Preuitt, 75, of Talladega, Ala., was charged with one count of conspiracy, one count of federal program bribery, one count of attempted extortion, 11 counts of honest services mail and wire fraud, and one count of making a false statement;
  • Quinton T. Ross Jr., 41, of Montgomery, Ala., was charged with one count of conspiracy, two counts of federal program bribery, two counts of attempted extortion, and 11 counts of honest services mail and wire fraud; and
  • Joseph R. Crosby, 61, of Montgomery, Ala., was charged with one count of conspiracy, one count of federal program bribery, and 11 counts of honest services mail and wire fraud.