FEMA employees busted for taking bribes

    The FBI arrested two Federal Emergency Management Agency employees
    Friday after each accepted $10,000 in cash kickbacks from a food
    services contractor, the U.S. Attorney said.

    The contractor, who
    was not immediately identified, notified the government of attempts to
    bribe him soon after he arrived at a FEMA camp in the Algiers
    neighborhood of New Orleans.

    U.S. Attorney Jim Letten said the
    suspects _ identified as Andrew Rose and Loyd Hollman, both of Colorado
    _ took the contractor into a locked room to discuss how they could
    artificially inflate the head count of FEMA workers taking meals at the
    camp, which would increase the contractor’s revenue. They allegedly
    told the contractor they would need $20,000 in kickbacks to inflate the

    Federal agents used electronic surveillance and have Rose and Hollman on tape talking about the alleged scheme, Letten said.

    and Rose each were charged with soliciting bribes as public officials.
    Both were in custody Friday afternoon and Letten said prosecutors would
    argue that they should be held without bail as flight risks.

    said the arrests should serve as a warning that a federal task force
    set up in Louisiana last fall is quickly responding to information
    about possible fraud by contractors and public officials.