MADISON - A Brodhead man faces up to 30 years in prison after pleading guilty Tuesday, Nov. 13 in federal court to wire fraud in connection with a government program to expand broadband internet in rural areas.
Michael W. Booth, 42, owned the Satellite Store and subcontracted to sell and install hi-speed internet service to unserved rural areas in 2010-11 under the American Recovery and Reinvestment Act, better known as the stimulus program.
The program required Booth to check the address of potential customers to see if they lived in a qualifying area not served with broadband. He also was to verify the customer had a credit card.
Instead, between Nov. 9, 2009 and June 13, 2011, Booth sent a distributor 277 fictitious orders for service either at invented addresses, to non-existent persons or falsely stated the equipment had been installed when in fact it hadn't, said Assistant U.S. Attorney Stephen Sinnott.
"None of the work had been done in the (277) instances," Sinnott said.
A division of the U.S. Department of Agriculture had awarded a $58 million contract to Hughes Network Services to expand broadband, which contracted with another firm that hired Booth. Hughes began checking on Booth's work when it learned that a large number of Booth's "customers" didn't have an active credit card account, Sinnott said.
Booth admitted to FBI agents in February that he had falsified information on orders he sent his distributor, Sinnott said.
Neither Booth nor his attorney, Erika Bierma, disputed Sinnott's statements.
Booth signed a plea agreement in June but the government didn't file the case in court until last month. In exchange for his guilty plea, the government agreed to recommend that he get the maximum sentence reduction available.
While Booth faces statutory maximum penalties of 30 years in prison, District Judge William Conley will impose a sentence based on far less strict advisory guidelines that factor in the seriousness of the offense, any prior convictions, and any other relevant conduct.
Booth agreed to liquidate all non-exempt assets to pay down his restitution, which Sinnott said is $198,485.
Conley continued Booth's release on conditions until his Jan. 24 sentencing.
After court, Sinnott said it was the first case the U.S. Attorney for Western Wisconsin has brought under the ARRA.
Michael W. Booth, 42, owned the Satellite Store and subcontracted to sell and install hi-speed internet service to unserved rural areas in 2010-11 under the American Recovery and Reinvestment Act, better known as the stimulus program.
The program required Booth to check the address of potential customers to see if they lived in a qualifying area not served with broadband. He also was to verify the customer had a credit card.
Instead, between Nov. 9, 2009 and June 13, 2011, Booth sent a distributor 277 fictitious orders for service either at invented addresses, to non-existent persons or falsely stated the equipment had been installed when in fact it hadn't, said Assistant U.S. Attorney Stephen Sinnott.
"None of the work had been done in the (277) instances," Sinnott said.
A division of the U.S. Department of Agriculture had awarded a $58 million contract to Hughes Network Services to expand broadband, which contracted with another firm that hired Booth. Hughes began checking on Booth's work when it learned that a large number of Booth's "customers" didn't have an active credit card account, Sinnott said.
Booth admitted to FBI agents in February that he had falsified information on orders he sent his distributor, Sinnott said.
Neither Booth nor his attorney, Erika Bierma, disputed Sinnott's statements.
Booth signed a plea agreement in June but the government didn't file the case in court until last month. In exchange for his guilty plea, the government agreed to recommend that he get the maximum sentence reduction available.
While Booth faces statutory maximum penalties of 30 years in prison, District Judge William Conley will impose a sentence based on far less strict advisory guidelines that factor in the seriousness of the offense, any prior convictions, and any other relevant conduct.
Booth agreed to liquidate all non-exempt assets to pay down his restitution, which Sinnott said is $198,485.
Conley continued Booth's release on conditions until his Jan. 24 sentencing.
After court, Sinnott said it was the first case the U.S. Attorney for Western Wisconsin has brought under the ARRA.