July 23, 2014

Ocean Springs Businessman Sentenced to Serve 18 Months in Prison for Federal Program Fraud

HATTIESBURG, MS—Scott Walker, 34, of Ocean Springs, was sentenced today by U.S. District Judge Keith Starrett to 18 months in prison for federal program fraud and 18 months for conspiracy to commit federal program fraud, announced U.S. Attorney Gregory K. Davis and Acting FBI Special Agent in Charge Johnnie Sharp. The two sentence terms will run concurrently and will be followed by a three year term of supervised release. Walker was also ordered to pay restitution in the amount of $390,000.

Walker previously pled guilty to creating and submitting a false invoice in the amount of $180,000 to the City of D’Iberville for payment of consulting services that were never performed in connection with a $3 million grant issued to the City of D’Iberville by the Mississippi Department of Environmental Quality. Walker also pled guilty to conspiring with his father, William Walker, to divert federal grant monies in a scheme that resulted in the federal grant monies being used to unlawfully purchase Scott Walker’s personal property in Ocean Springs, Mississippi.

This case was investigated by the Federal Bureau of Investigation with assistance from the Mississippi State Auditor’s Office. It was prosecuted by Criminal Division Chief John Dowdy, Assistant U.S. Attorney Jerry Rushing and Assistant U.S. Attorney Jay Golden.