RIBCO News

2006-06-13

Florida: Feds Raid Keefe Sub’s Office
 
Canteen business raided in prisons inquiry

Florida Times-Union, 6/8/2006

View article on Florida Times-Union


State and federal agents raided a Gainesville business Wednesday that sells snacks and drinks to people who visit Florida prisons on the weekends.

Agents took paperwork and business documents from American Institutional Services, said Jeff Westcott, an FBI spokesman in Jacksonville.

No arrests were made and the warrant has been sealed, Westcott said.

A wide-ranging investigation into the Department of Corrections has been continuing for more than two years and helped lead to the February ousting of DOC Secretary James Crosby. At the time, Gov. Jeb Bush said it would become clear that letting go of Crosby, who has not been charged, was the right thing to do.

Interim DOC Secretary James McDonough has said he's looking at several contracts, including the canteen deal.

Prominent Gainesville insurance agent Edward L. Dugger started American Institutional Services (AIS) in June 2004, state records show. About two weeks later, AIS had a deal with Keefe Commissary Network to run the canteens on the weekends. According to the deal, AIS gets a cut of the weekend sales for running the canteens.

Dugger was out of the office Wednesday afternoon and did not return a message left there; nor did he return a message left at his home.

AIS continues to run the visiting canteens, DOC spokesman Robby Cunningham said. He said he was not aware of the department being notified of the warrants by either the FBI or Florida Department of Law Enforcement.

Keefe Commissary Network has been running prison canteens for inmates in Florida since 2003, when the state opted to privatize the service.

The Keefe contract was amended in 2004 to include the visiting park canteens, which AIS runs on the weekends.

Keefe staff referred all questions to Michael Harvick, who was not in the office Wednesday afternoon and did not return a phone message left at his home.

Crosby's attorney Steven Andrews declined comment.

Dugger owns Eddie Dugger Insurance and is an officer in several other businesses, state records show. Dugger has personally given $500 each to two candidates for governor: Republican Tom Gallagher and Democrat Rod Smith.

As a company, AIS has given $1,500 this election cycle, including $500 to Republican gubernatorial candidate Charlie Crist and $500 to state Sen. Jim King, a Jacksonville Republican.

 
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