El Paso business owner arrested for allegations of involvement in defrauding correctional institutions


EL PASO, Texas (KTSM) – El Paso business owner, Jack McCager Kidd, was arrested last Thursday on criminal charges for alleged involvement in defrauding two federally funded correctional institutions.

According to court documents, Kidd, 70, is a director and partner of a company that provided natural gas to the institutions.

The documents state that Kidd falsely invoiced the institutions for more natural gas than Kidd’s company had delivered. Kidd is charged with 72 counts of wire fraud.

Kidd also refused to provide the requested information to the institutions concerning the amount of natural gas delivered and the calculations he used to determine the monthly invoice amounts, the United States Attorney’s Office Western District of Texas said in a release.

If convicted, Kidd may face a maximum penalty of 20 years in prison on each count.

A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Assistant U.S. Attorneys Chris Skillern and Sarah Valenzuela are prosecuting the case.

The Department of Justice Office of the Inspector General Fraud Detection Office is investigating the case.

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