James E. Lee Sr., a former procurement official for the U.S. Postal Service, pleaded guilty to conspiring to commit bribery and honest services wire fraud, the Justice Department announced Thursday. Honest services wire fraud is a federal crime that involves using wires, such as phone or internet communications, in a scheme to deprive others of the honest services of an official.
According to court documents, Lee was a product management specialist overseeing expedited packaging supplies for the Postal Service. He also served as a contracting officer representative on several contracts to make and provide those supplies. The Justice Department said some of the contracts involved were worth hundreds of millions of dollars.
The department said that between about mid-2018 and late 2023, Lee and others agreed to a corrupt scheme in which he steered the buying process so the contracts would be awarded to, or kept by, four companies. Court documents say he gave the companies preferential treatment and competitive advantages. These included reviewing draft technical proposals and telling them confidential internal information about pricing and other issues.
The department said Lee also performed official acts and influenced other officials during the process. According to court documents, he used a relative and the relative’s consulting company as a go-between to pass information to the companies and hide his efforts. In exchange, the companies hired the relative as an employee or consultant, resulting in payments totaling nearly $183,000.
Lee’s relative and a former executive for one of the manufacturing companies have also pleaded guilty. Both are awaiting sentencing, the department said. The release did not name them or say which company the executive worked for.
Lee is scheduled to be sentenced on Feb. 25, 2027. The release did not say what penalty he faces.
Assistant Attorney General A. Tysen Duva of the Justice Department’s Criminal Division announced the plea, along with Executive Special Agent in Charge Kevin Cloninger of the Postal Service’s Office of Inspector General and FBI Special Agent in Charge Richard Evanchec.
The Postal Service Office of the Inspector General and the FBI Pittsburgh Field Office are investigating this case and related cases. Chief Edward P. Sullivan of the Criminal Division’s Public Integrity Section is prosecuting them. The department said Criminal Division attorney Celia R. Choy provided substantial assistance with the investigation.