Former FBI agent pleads not guilty in military bribery case

Published: Tuesday, Oct. 13 2015 6:35 a.m. MDT

SALT LAKE CITY — A former FBI agent accused of trying to derail a federal investigation into an alleged $54 million defense contract bribery scheme pleaded not guilty in U.S. District Court.

Robert G. Lustyik Jr., 50, of Sleepy Hollow, N.Y., is charged with fraud and obstructing justice.

Lustyik, a 20-year FBI veteran, used his position in an attempt to stave off a criminal investigation into the owner of Boston-based American International Security Corp., according to the indictment. Three others, including a retired Army lieutenant colonel, have been charged with using insider bidding to win contracts to train Afghan commandos.

The investigation began in Utah when a security company associate's transactions involving large sums of money at a St. George credit union raised suspicion.

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