Cundiff may accept plea deal in Georgia

Glenn D. Cundiff says he's innocent of any wrongdoing and does not know why he became one of the co-defendants in the case against Pyrotechnics Specialties, Inc., and several of its key management personnel.

He feels like he was indicted because Pyrotechnics Specialties wanted him to testify on their behalf during the federal probe and the government didn't want that to happen.

Cundiff, who is a 21-year (and current) member of White River Valley Board of School Trustees, says he feels betrayed by the federal government -- for whom he worked at NSWC Crane -- and the U.S. Marine Corps.

"You never thought this would happen when you worked for somebody for 43 years. They just want to stab you in the back," Cundiff told the Greene County Daily World on Monday.

"It's been a nightmare. It's put me and my wife though a lot. I can't testify about anything because I don't know anything. All I can do is tell the truth."

The case is set for a jury trial starting Jan. 20 in the U.S. Middle District of Georgia Court in Macon, Ga.

"Please keep in mind this date is subject to change," according to Sue McKinney, Public Affairs Specialist, U.S. Attorney's Office, Middle District of Georgia.

Cundiff agreed and said that he may accept a plea agreement that has been offered to him by federal prosecutors -- which would cancel the jury trial.

A pre-trial conference is slated for Friday in Macon, Ga., at which time Cundiff may agree to take the plea deal, he said.

"My attorney is looking at it (the plea deal) and we'll see what happens," Cundiff said.

Cundiff is charged with one count of conspiracy in an alleged scheme to re-label and sell faulty diversionary or "flash bang" or "stun" grenades to several government military and police department agencies across the country.

Cundiff, who worked as an engineering technician at the Naval Surface Warfare Center at Crane, is alleged to be a part of an elaborate scheme by a Georgia-based munitions company that defrauded the federal government out of millions of dollars for the faulty products.

The Worthington man served as a liaison for the sales between Pyrotechnic Specialties Inc., of Byron, Ga., and the U.S. Marine Corps. He provided technical oversight for contracts with Pyrotechnics Specialties, Inc., for production of the MK 141 grenades.

Cundiff said the plea deal would charge him with a misdemeanor, give him a suspended jail sentence, place him on probation and give him a fine.

If the case goes to a jury trial, he would be tried for a felony and could be sentenced -- if convicted -- to five years imprisonment, placed on three years supervised release, fined up to $250,000 and receive a $100 assessment fee.

Cundiff said by agreeing to plead guilty he would not be admitting to any wrongdoing, but says the financial cost of fighting the case is the major reason he wants to see this all end.

So far, he's spent $30,000 on the case that is being handled by Columbus, Ga., attorney John Martin -- a law school classmate of former L&M High School basketball standout Jeff Oliphant.

Much of the money to fight the case has come from a retirement savings account he had accrued while working at NSWC Crane.

"I may have to take it (the plea deal) financially," Cundiff said. "Even though I never did anything wrong that I know of really."

He added, "This has just cost me a bunch of money."

The period of the alleged conspiracy ranged from March 7, 2000 through Jan. 15, 2008.

Since his arrest in April at his Greene County home near White River Valley-Worthington Elementary School, Cundiff has been free on his own recognizance -- without posting any cash bond.

He appeared on May 5 in federal court in Macon, Ga., before U.S. Magistrate Claude Hicks.

Since that time he has had to make a telephone call to a federal probation officer in Terre Haute every Monday while he awaits trial.

The 22-page, 15-count grand jury indictment handed down in April also names David J. Karlson, CEO of Pyrotechnic Specialties Inc., and two other employees, and the company itself.

Among the charges are conspiracy, money laundering and conspiracy to defraud the government, false claims against the government and mail fraud.

The indictment also alleges that the co-defendants defrauded the Federal Bureau of Investigation, Department of Defense, Bureau of Alcohol, Tobacco, Firearms and Explosives concerning its government functions and rights in the procurement of munitions and in the regulation of the manufacture, sale, storage, distribution and disposal of munitions in violation of federal law.

According to the indictment, "The objects of the conspiracy were to sell and otherwise dispose of diversionary charges that had been manufactured by Pyrotechnic Specialties, Inc. which were unacceptable to the Department of Defense ... and did not meet acceptance as set forth in the contract specifications."

The flawed grenades -- MK 141-- were developed by the U.S. Navy and were to be used by members of Special Forces Operations, the U.S. Marine Corps and the U.S. Army and certain federal law enforcement agencies.

Pyrotechnics Specialties, Inc. was the only company contracted to manufacture the MK 141 grenades, according to court records.

Pyrotechnics was paid about $250,000 per accepted lot of grenades. No payment was received for any rejected lots.

However, the Department of Defense could and sometimes did grant waivers of deviation in negotiations between DOD officials and Pyrotechnics regarding price reductions.

"To further implement the scheme ... the defendants provided gratuities and additional compensation to a Department of Defense employee (Cundiff) who was in a position to influence waivers of defects in the lot acceptance. Further, said employee could grant a retest by Pyrotechnic Specialties in the event the failure of the lot was a perceived anomaly," the indictment states.