JACKSONVILLE, Fla. – Businessman Lance Young pleaded guilty to bribery charges Monday and will testify that he paid bribes to former Jacksonville Port Authority Vice Chairman Tony Nelson, federal prosecutors said.
Young said in a signed affidavit that he met Nelson at a Jaguars game, and within a year, they had agreed to a $102,000 annual bribery and money-laundering scheme that steered port business to Young's company, Subaqueous Services Inc.
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Subaqueous is an Orlando-based dredging company that received a $2.5 million contract from Jaxport for work on the turning basin at the Dames Point container terminal.
Nelson, 51, was indicted in January on 44 federal counts including conspiracy, money laundering, mail fraud, bribery and making a false statement to the FBI.
As Nelson left federal court Tuesday after a previously scheduled hearing, he wouldn't comment on the development, but added, "Be patient. We are going to follow the process."
Nelson's attorney, Curtis Falgatter, said he was surprised that Young would plead guilty.
"I don't know why he would plea," Falgatter told Channel 4's Jim Piggott.
Court Documents:
Lance Young Guilty PleaMotion To Dismiss: United States v. Tony Nelson
Court documents obtained by Channel 4 show that Nelson met with a man named Frank Bernardino at a restaurant in Daytona Beach to discuss how Nelson would receive his bribe money. The documents said Nelson wanted to be on the payroll and receive an annual salary of $102,000.
Bernardino, 45, of Tallahassee, was indicted on 36 counts in connection with the case.
Nelson and Bernardino, a former lobbyist for the South Florida Water Management District, turned themselves in after they were indicted in late January.
At the Tuesday hearing, attorneys for both Nelson and Bernardino asked that the charges be dismissed. Among the claims is of misconduct by the federal prosecutor, saying former Mayor John Delaney was asked during grand jury testimony if he had tried to work with Nelson's previous attorney to get Nelson to plead guilty.
"The government has acknowledged that some questions were asked that were in appropriate, and the judge will have to decide," said defense attorney Curtis Falgatter. "We are waiting for that ruling."
The FBI investigation made headlines in May 2008 when agents raided several local companies, including Subaqueous and some businesses owned by Nelson. Days later, Nelson immediately took a voluntary leave of absence from his board position with Jaxport. He resigned a few months later.
If convicted on all charges, Nelson could face up to 715 years in prison and $13.5 million in fines, along with the forfeiture of $143,500 -- an amount prosecutors said was the proceeds of the criminal activity.