USDA loan specialist, contractors head to prison for loan bribery scheme

McALLEN, Texas (ValleyCentral) — Three Rio Grande City residents are headed to prison for their roles in a bribery scheme involving the United States Department of Agriculture (USDA), according to U.S. Attorney Alamdar S. Hamdani.

Roberto Rodriguez, 52, Daniel Diaz, 68, and Jose Sandoval, 71, each pleaded guilty on May 17.

Rodriguez was ordered to serve a year and five months in federal prison for the crime. Diaz and Sandoval received eight and six months in federal prison, respectively. The men must also serve three years of supervised release following their sentences.

The court heard additional evidence of the dollar amount of the contracts awarded to each contractor including $1,107,228 to Diaz and $709,854 to Sandoval.

In handing down the prison terms, Judge Crane noted he hoped it served as an example to the community not to get involved in corrupt practices.

“The people of the United States have the right to expect the utmost integrity from those electing to do business with the United States,” said Hamdani. “Diaz and Sandoval failed in that duty when they chose to bribe a federal official in order to obtain federal contracts. Rodriguez betrayed his oath of office when he chose to accept payments from those contractors in order to influence who would be awarded these contracts.”

Rodriguez confessed to accepting money for referring applicants for the USDA Rural Development 504 Single Family Housing Repair Grant and Loan program to Diaz and Sandoval in order for each of them to receive money under the program.

Rodriguez also admitted he was a loan specialist responsible for approving the loans. Diaz and Sandoval both admitted they gave money to Rodriguez to receive work under the program.

Each was allowed to remain on bond and voluntarily surrender to a U.S. Bureau of Prisons facility to be determined soon.