Texas Man Charged in Alleged Hawaii Military IT Bid-Rigging Scheme

51-year-old accused of decade-long conspiracy to rig defense contracts by bribing federal official

Apr. 1, 2026 at 10:05am

A 51-year-old Texas man named Alan Hayward James has been charged with bribery, conspiracy to commit wire fraud, and conspiracy to rig bids in an alleged near decade-long scheme to defraud the U.S. Department of Defense on information technology contracts in Hawaii. James is accused of conspiring with companies and individuals in Hawaii to rig the bidding process by bribing a federal public official.

Why it matters

This case highlights ongoing concerns about corruption and lack of competition in the awarding of lucrative government IT contracts, especially those related to national defense. It also raises questions about the effectiveness of oversight and accountability measures to prevent such bid-rigging schemes from occurring.

The details

According to federal prosecutors, from April 2016 to April 2025, James and "others known and unknown" conspired to commit wire fraud by developing a plan to steal money and property by defrauding federal agencies on IT contracts. James and his alleged co-conspirators are accused of rigging bids for Department of Defense IT contracts in Hawaii and elsewhere by directly and indirectly bribing a federal public official.

  • In April 2016, the alleged conspiracy began.
  • The conspiracy continued until April 2025, according to prosecutors.

The players

Alan Hayward James

A 51-year-old Texas man who is the founder and CEO of T.R.A.P. LLC, a company that specializes in government IT services. He is accused of orchestrating the bid-rigging scheme.

Co-conspirator Individual 1

A federal public official who allegedly received bribes from James and his co-conspirators.

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What’s next

James is scheduled to make his initial appearance and waive his arraignment and plea today before U.S. District Judge Shanlyn A.S. Park in Honolulu.

The takeaway

This case highlights ongoing concerns about corruption and lack of competition in the awarding of lucrative government IT contracts, especially those related to national defense. It underscores the need for stronger oversight and accountability measures to prevent such bid-rigging schemes from occurring.