More than six years after the first search warrant was issued, a ringleader in a $5.6 million commercial bribery scheme at two area hospitals and a utility went to federal prison yesterday.
Brian Ramsey, a former manager in the building services department at Allegheny Energy, was sentenced to 72 months behind bars and ordered to pay $1.4 million in restitution to his former employer.
He also was ordered to forfeit another $85,000 to the United States.
Mr. Ramsey was convicted in June of taking kickbacks from contractors in exchange for padding bills while overseeing construction at Allegheny Energy's headquarters in Greensburg, a project that started in 1995.
He was one of four corrupt managers at the utility, Mercy Hospital and UPMC Shadyside targeted by U.S. postal inspectors and the Criminal Investigation Division of the IRS that began with an April 2000 search of the offices of LaMarca Corp. owners Susan and Tom Burtoft.
The other insiders, David Hileman and Jeffrey Davidson of Mercy and Demaree Hite of UPMC Shadyside, eventually pleaded guilty. But Mr. Ramsey, 45, of Murrysville, chose to go to trial.
The jury found him guilty of mail fraud, filing a false tax return and conspiracy under the Racketeer Influenced and Corrupt Organizations Act.
In court papers, Mr. Ramsey's lawyer, Charles Porter, had argued that his client's conduct did not rise to the level of racketeering and that he was not a ringleader.
But the government said Mr. Ramsey was the head of a conspiracy involving 10 people, some of whom received immunity. U.S. District Judge Terrence McVerry agreed that Mr. Ramsey played a central role.
"The court finds that the facts in this case support the inescapable conclusion that [Ramsey] was a leader or organizer of individuals who participated together" in the RICO scheme, he wrote.
"Every day for five years you stole from your employer," the judge told Mr. Ramsey yesterday.
The Burtofts, who have cooperated with the government, admitted to paying off Mr. Ramsey and the other managers with cash, cars, expensive guns, vacation property and remodeling work.
Tom Burtoft is in prison. His wife has not been sentenced.
