A major corruption scandal has engulfed the U.S. Agency for International Development (USAID), where a long-running bribery scheme resulted in over $1 million in improper payments and four guilty pleas tied to federal contracting abuse, Fox News reported.
The Justice Department uncovered that a USAID official took bribes in exchange for steering contracts, drawing new scrutiny to the embattled agency, already facing restructuring and criticism over spending.
On Friday, the DOJ announced that Roderick Watson, 57, a former USAID contracting officer, pleaded guilty to accepting bribes from government contractors beginning in 2013. These bribes came from Walter Barnes, owner of Vistant, and Darryl Britt, owner of Apprio, through a third party named Paul Young, who ran a subcontractor connected to both firms.
Prosecutors say the illegal payments exceeded $1 million and included cash, laptops, NBA suite tickets, a country club wedding, mortgage down payments, phones, and jobs for Watson’s relatives. The bribes were carefully masked using shell companies, false invoices, bank transfers, and fabricated payroll records.
According to the DOJ, Britt and Barnes routed the payments through Young to obscure the origin. Investigators described this as a "pay-to-play" operation that corrupted federal contracting processes meant to serve public interests.
Sean Bottary, acting assistant inspector general for investigations at USAID, said Watson violated public trust for personal gain and reinforced that the agency is committed to rooting out fraud in U.S. foreign assistance programs.
In November 2023, Vistant, despite its ties to the ongoing bribery, was awarded a joint venture contract worth up to $800 million to support migration solutions in Central America. This mission had been a key focus under the Biden administration, particularly under then-Vice President Kamala Harris’s leadership.
The contract was later canceled after USAID excluded Vistant from government contracting, citing conduct showing a lack of honesty or integrity. This exclusion came as the bribery investigation brought damaging evidence to light.
In August 2024, however, the joint venture successfully sued the U.S. government. A court ordered their removal from the exclusion list, allowed the contract to resume, and granted a $10,000 payment. The legal turnaround added a new twist to the saga.
The revelations emerged during broader efforts to overhaul USAID. The DOGE administration implemented sweeping cuts, reducing the agency’s programs by 83% and reassigning many initiatives to the State Department as part of a larger government restructuring.
In February 2025, USAID employees were locked out of their headquarters, placed on administrative leave, and barred from accessing agency systems. The website went offline, symbolizing the agency’s abrupt pause in activity as reforms progressed.
Criticism mounted as the public learned of prior spending under USAID, including $1.5 million for a DEI initiative in Serbia and $70,000 for a diversity-themed musical in Ireland. These spending decisions fueled calls for closer oversight and accountability in foreign aid funding.
Additional controversy arose when investigators revealed that U.S. funds had supported the education of al-Qaeda terrorist Anwar al-Awlaki, including full tuition at a Colorado college. This information reignited demands for systemic checks in oversight and grant approval.
Matthew R. Galeotti of the Justice Department’s Criminal Division said Americans have reason to worry about government waste and corruption. He urged tighter safeguards across all federal agencies managing large-scale contracts.
