The former owner of two Florida-based airline fuel companies appeared today in the U.S. District Court for the Southern District of Florida on charges of a kickbacks and fraud against Ryan International Airlines.
Sean E. Wagner was arrested on 19 July 2013 in Florida on a criminal complaint of wire fraud relating to a scheme to defraud Ryan, a charter airline company. At today’s hearing, the Department of Justice said that Wagner was arrested after indications that he was a flight risk.
The criminal complaint alleges that Wagner participated in a conspiracy to defraud Ryan by making kickback payments to Wayne Kepple, the former vice president of ground operations for Ryan in charge of contracting services on behalf of the company. In exchange, Kepple awarded business to Wagner’s fuel supply companies.
According to the criminal complaint, from at least as early as December 2005 through at least August 2009, Wagner, his companies, and others made kickback payments totaling more than $200,000, in the form of checks, wire transfers, gift cards and cash, to Kepple while he was working at Ryan.
Ryan provided air passenger and cargo services for corporations, private individuals, and the U.S. government, including the U.S. Department of Defense, the U.S. Department of Homeland Security and the U.S. Marshals Service.
Wagner is charged with one count of conspiracy to commit wire fraud and honest services fraud, which carries a maximum sentence of 20 years in prison and a $250,000 criminal fine for individuals. The maximum fine may be increased to twice the gain derived from the crime or twice the loss suffered by the victims of the crime, if either amount is greater than the statutory maximum fine.
Because of this ongoing investigation, four individuals have plead guilty to date. Three of the individuals have been ordered to serve sentences ranging from 16 to 24 months in prison and to pay more than $220,000 in restitution. The fourth individual, Wayne Kepple, pleaded guilty and awaits sentencing.
