HOUSTON – The former chief operating officer of Houston Independent School District, Brian Busy, is now facing new tax charges in relation to a bribery scheme committed last year, U.S. Attorney Jennifer B. Lowery announced Thursday.
On Dec. 14, 2021, 43-year-old Busby and 60-year-old HISD contract vendor Anthony Hutchison were both arrested and charged in connection to a bribery scheme.
According to documents, Busby allegedly helped award HISD construction ground maintenance contracts to Hutchison in return for cash bribes and hundreds of thousands of dollars in home remodeling.
The new charges allege the duo filed false tax returns that underreported their income related to the scheme. Hutchison also overstated the cost of goods sold on his returns, according to court documents.
Officials said Hutchison obtained cash he used to pay bribes to HISD officials by writing company checks to vendors who then cashed the checks and provided the cash to Hutchison. Authorities said Hutchison then falsely stated on the memo line of the checks that they were in payment for work that had been performed on HISD properties, causing the checks to be improperly deducted on corporate tax returns as business expenses.
Officials said Hutchison also caused his gambling losses to be improperly deducted on corporate tax returns as alleged business expenses his company incurred on HISD construction landscaping projects.
Officials said Busby concealed Hutchison’s involvement in the bribery scheme by making cash deposits of bribe proceeds into multiple bank accounts and by filing false tax returns that failed to declare the cash bribes and other benefits as income.
Five others have pleaded guilty in relation to the scheme - Former HISD Board of Education Presidents Rhonda Skillern-Jones, Officer of construction services Derrick Sanders, and general manager of facilities and maintenance Alfred Hoskins.