Phelan Awaits Sentencing After Pleading Guilty in MHA Bribery Case, Reeves and Grady Sentenced

In July 2020, Buffalo’s Fire reported that the first charges were filed in the case of MHA Nation councilmen for bribery and kickbacks, with all alleged criminal activity taking place on the Fort Berthold Indian Reservation. Randall Jude Phelan of Mandaree, North Dakota, and Delvin Reeves of Watford, North Dakota made their initial appearances in the District of North Dakota before United States Magistrate Judge Alice R. Senechal. The third man, Frank Charles Grady of Hardin, Montana, made his initial appearance in the District of Montana before United States Magistrate Judge Timothy J. Cavan.

Earlier in November, Reeves received a sentence of 61 months of incarceration with credit for time served plus three years of supervision upon release from imprisonment. The Department of Justice press release dated November 21, 2022, disclosed that Grady was sentenced to six years and three months in prison for his involvement in the MHA bribery scheme. Phelan, who pleaded guilty, is currently awaiting sentencing for the bribery and kickback scheme – with sentencing scheduled for February 2023.

According to the official press release, the councilmen used their official position to help the contractor, Francisco Solis, including the awarding of contracts, fabricating bids during competitive bidding processes, advocating for the contractor with other Tribal officials, and facilitating the submission and payment of fraudulent invoices.

In total, the construction business received more than $17.25 million from the Three Affiliated Tribes to do business on the Fort Berthold Reservation. The business also paid more than $1 million in cash to Phelan and Reeves – to which payment was accepted on 67 different occasions by Reeves, with 57 of them being in the form of a check.

The contractor also pleaded guilty to one count of bribery concerning programs receiving federal funds.

References:

Buffalo’s Fire, Jodi Rave Spotted Bear, July 31, 2020, “2 MHA Nation Councilmen charged with kickbacks, bribery,” https://www.buffalosfire.com/2-mha-nation-councilmenn-charged-with-kickbacks-bribery/

InForum, David Olson, October 25, 2022, “Former tribal official pleads guilty as bribery trial was set to start in Fargo,” https://www.inforum.com/news/north-dakota/former-tribal-official-pleads-guilty-as-bribery-trial-was-set-to-start-in-fargo

Buffalo’s Fire, October 27, 2022, “Former tribal official pleads guilty to bribery scheme”, https://www.buffalosfire.com/former-tribal-official-pleads-guilty-to-bribery-scheme/

Department of Justice, Office of Public Affairs, November 21, 2022, “Former Tribal Official Sentenced to Prison for Bribery Scheme,” https://www.justice.gov/opa/pr/former-tribal-official-sentenced-prison-bribery-scheme

United States District Court for the District of North Dakota, Criminal Complaint, July 28,2020, https://www.justice.gov/opa/press-release/file/1299846/download

United States District Court for the District of North Dakota, Criminal Complaint, July 28,2020, https://www.justice.gov/opa/press-release/file/1299836/download

United States District Court for the District of North Dakota, Criminal Complaint, July 28,2020, https://www.justice.gov/opa/press-release/file/1299841/download