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Harry Cassin
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Another Sentencing Delay For KBR’s Ex Boss

KBR’s former CEO, Albert “Jack” Stanley, left, who presided over a $180 million oversees bribery scheme, won’t be sentenced until at least March 30.

Stanley pleaded guilty in federal court in Houston in September 2008 to a two-count criminal information charging him with conspiracy to violate the Foreign Corrupt Practices Act and to commit mail and wire fraud. He’s free on bail of $100,000.

Stanley, 66, admitted that from 1995 to 2004, he helped the so-called TSKJ joint venture made up of KBR and its three partners funnel at least $180 million in bribes to Nigerian government officials. The joint venture won contracts worth $6 billion to build liquefied natural gas facilities.

Stanley was sentenced to 84 months in prison and a restitution payment of $10.8 million. The jail term is subject to review based on his cooperation.

For anyone keeping score, Stanley’s sentencing was first set for November 2008. It then slipped consecutively to May, August, and October 2009, then to February, May and September 2010, on to January 2011, and now to March 30.

With Stanley’s help, the DOJ and SEC have recovered $1.28 billion in FCPA-related penalties and disgorgement from the TSKJ consortium members: $579 million from KBR / Halliburton, $365 million from Snamprogetti / ENI, and $338 million from Technip. The final TSKJ partner, JGC corporation, a Japanese construction firm, said last week it has reserved around $220 million for an expected settlement with U.S. authorities.

Besides Stanley, two other individuals were indicted in the case. Wojciech Chodan, a former KBR manager in the U.K., pleaded guilty in December to one count of conspiracy to violate the FCPA. Chodan, 72, who holds a Polish passport, is scheduled to be sentenced on April 27.

His co-defendant, Jeffrey Tesler, 61, a London lawyer, has been fighting extradition from the U.K. Last month, the British High Court refused to block his extradition. He’s charged with one count of conspiracy to violate and ten counts of violating the FCPA.

Our thanks to the reader who let us know about Jack Stanley’s latest sentencing delay.

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