Ex-CIA exec faces sentencing for fraud

Kyle “Dusty” Foggo, the highest-ranking member of a federal intelligence or law enforcement agency convicted of a federal crime, is expected to be sentenced in Alexandria’s federal court today, where federal secrets could be made public.

Foggo, 53, admitted in September that he used his position as the third-highest-ranking member of the CIA to steer government contracts to his good friend Brent R. Wilkes. In return, Wilkes offered Foggo a job with his company upon leaving government service, sent Foggo and his family on a $30,000 vacation and took Foggo out to high-priced dinners in the Washington area.

Foggo was the CIA’s executive director from November 2004 until May 2006, when he resigned after the federal investigation became public. During his time overseeing the CIA’s daily operations and budget, Foggo gave Wilkes lucrative contracts marked up by as much as 60 percent over the going rate. One contract for supplying water to CIA outposts in Afghanistan and Iraq caused the government to pay $1.8 million more than was justified.

In the months before his September guilty plea, Foggo’s attorneys threatened to expose classified government secrets during the trial. The move pushed prosecutors to drop 27 of the 28 charges against Foggo. When Foggo pleaded guilty to one count of wire fraud, Judge James C. Cacheris told Foggo his attorneys “have done a good job for you in this case.”

Since then, Foggo’s attorneys and federal prosecutors have switched sides on the argument over releasing government secrets to the public.

In court filings, prosecutors argued for the release of sensitive grand jury testimony to add substance to their sentencing arguments.

“Foggo’s scheme lasted for years, and the testimony of grand jury witnesses will facilitate the public’s understanding of the workings of the scheme,” prosecutors wrote. “Disclosure to the public of the grounds to be relied upon by this Court in sentencing serves the public’s confidence in the judicial system.”

Foggo’s attorneys, however, wrote in response, “The government’s own position throughout this case belie the government’s current argument that the need for secrecy is minimal.” His attorney, David Rappaport, did not return calls Wednesday for comment.

The remaining court filings are under seal and it’s unclear how the judge ruled.

Although Foggo and prosecutors agreed to a 37-month prison sentence, the judge could still sentence Foggo to 20 years in prison and a $250,00 fine.

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