Businessman Tied To Ferguson Faces Charges
Updated On: Oct 27 2010 04:41:52 AM EDT
A Novi businessman is facing charges in connection with a bid-rigging scheme involving Bobby Ferguson.
Federal authorities said Rodney Burrell, owner of R & R Heavy Haulers of Northville, lied to a federal grand jury in 2009.
Burrell was charged with conspiracy to defraud the United States for providing a misleading and incomplete testimony to a federal grand jury. If convicted, he faces up to three years in prison and a $250,000 fine.
Federal agents said Burrell and other companies submitted phony bids to enable Ferguson to win a $12 million contract with Garden View Estates housing project.
The scheme came to light in September when Ferguson, longtime friend to former Detroit Mayor Kwame Kilpatrick, was indicted on charges of fraud, money laundering and obstruction of justice.
Three other people were also charged in the scheme.
Ferguson was released on a $10,000 bond under the following conditions: he is not allowed to have any firearms and he must undergo drug testing. He is allowed limited travel but must surrender his passport.
Ferguson faces a statutory maximum penalty of up to 20 years in prison on the most serious charges contained in the indictment and fines of more than $2.5 million.
Kilpatrick is currently serving a prison term for probation violation. He was indicted in federal court in June for additional crimes related to alleged misuse of his campaign funds.
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