Carlos Duque, a former civilian U.S. Army official, pleaded guilty in federal court in Honolulu to conspiracy, bribery and major fraud connected to contracts for a U.S. Army technology innovation lab in the Pacific. According to the plea agreement and information, from January 2021 to October 2022 Duque conspired with defense contractors Brian Kent and Leonard Pick to receive approximately $1.25 million in bribes over five years.

In exchange, Duque directed prime contractors to award subcontracts to Kent and Pick’s company and helped them inflate government contracting costs to cover the bribe payments. Duque received approximately $55,000, and the Army paid the company more than $3 million. He agreed to forfeit $55,166.70.

Duque faces maximum penalties of five years in prison and a $250,000 fine for conspiracy; 15 years in prison, a fine of up to $250,000 or three times the bribe’s value (whichever is greater), and possible disqualification from federal office for bribery; and 10 years in prison and a $5 million fine for major fraud. A judge will determine his sentence after considering the sentencing guidelines and other statutory factors, as well as any restitution owed to the Department of War.

A federal grand jury indicted Kent and Pick in May 2026. Their case is scheduled for trial on May 17, 2027. The indictment contains allegations only, and both defendants are presumed innocent unless proven guilty.

The Justice Department’s Antitrust Division San Francisco Office and the U.S. Attorney’s Office for the District of Hawaii are prosecuting the case. The investigation involved several federal investigative agencies and the Justice Department’s Procurement Collusion Strike Force, which targets antitrust crimes and related fraud affecting government procurement. The department also noted that eligible whistleblowers may receive 15% to 30% of qualifying recoveries for reporting original information about antitrust and related offenses.