4:00 PM update: U.S. Magistrate Keith Ball set a $10,000 unsecured bond for Dr. Reddix. Dr. Reddix was represented by attorney Lisa Ross. He admitted to the court that he is currently undergoing treatment for alcohol abuse.
The U.S. Attorney's office issued the following press release:
Jackson, Miss – Dr. Carl Reddix, 57, of Jackson, was charged today with paying bribes and kickbacks to former Mississippi Department of Corrections (MDOC) Commissioner Christopher B. Epps in exchange for receiving contracts involving the MDOC and its operations, announced Acting United States Attorney Harold Brittain and FBI Special Agent in Charge (SAC) Donald Alway.
Dr. Reddix was charged in a seven count indictment returned by a federal grand jury with conspiracy to commit honest services wire fraud and with six counts of bribery. According to the indictment returned against Reddix, starting in 2012 and continuing until October, 2014, Dr. Reddix gave Epps bribes and kickbacks in exchange for the awarding and retention of MDOC contracts for Dr. Reddix’s company, Health Assurance, LLC to provide inmate health care services at four facilities: Walnut Grove Correctional Facility; East Mississippi Correctional Facility; Marshall County Correctional Facility; and, Wilkinson County Correctional Facility. The contracts were valued at over $29,000,000.
The indictment also alleges that Dr. Reddix made cash payments to Epps ranging from $8,000 to 9,500 per month from May through October of 2014.
“This indictment alleges a pattern of fraud and deceit based on greed,” said Acting U.S. Attorney Harold Brittain. “Corrupt individuals who place the integrity of government contracts at risk will be held accountable for their actions. The U.S. Attorney’s Office and our law enforcement partners remain unwavering in our commitment to root out public corruption at all levels and to restore the public trust.”
FBI Special Agent in Charge Donald Alway applauded the investigators and prosecutors, whose hard work and determined efforts revealed these additional participants in this conspiracy of public corruption and led to the charges announced today. “Individuals and companies who do business with the government are held to a high standard of accountability,” said Alway. “When these individuals decide to use the government to supplement themselves at the public’s expense, they can expect the FBI to come knocking to hold them accountable. The FBI in Mississippi will continue to work alongside our local, state and federal law enforcement partners to identify and investigate those that criminally exploit the government.”
Dr. Reddix is scheduled to make his initial appearance before U.S. Magistrate Judge F. Keith Ball today at 2:00 p.m. He faces a maximum penalty of 20 years in prison and a $250,000.00 fine for the conspiracy count, and a maximum of 10 years in prison and a $250,000.00 fine for each of the bribery counts.
This case was investigated by the Federal Bureau of Investigation. It is being prosecuted by Deputy Criminal Chief Darren LaMarca, Assistant United States Attorney Patrick Lemon, and financial analyst Kim Mitchell.
The public is reminded that an indictment is merely a charge and should not be considered as evidence of guilt. The defendant is presumed innocent until proven guilty in a court of law.
Kingfish note: Hinds County Supervisor Robert Graham tried to bring Reddix back on board in providing medical services to Hinds County inmates last November. Earlier post.
JJ reported last year that Dr. Reddix's company was involved in an illegal kickback scheme in Harrison County with one Supervisor who committed suicide after he was indicted. February 27, 2015 post.