Kansan tied to alleged $1 million kickback scheme with nuclear weapon parts maker

TOPEKA — Federal prosecutors in Kansas City, Kansas, indicted businessmen from Kansas and Missouri for allegedly engaging in a 10-year, $1 million kickback scheme on subcontracts for nuclear weapon manufacturing projects.

The U.S. Department of Justice alleged Michael Clinesmith, 67, of Kansas solicited and received kickbacks and bribes from Richard Mueller, 63, of Missouri in exchange for Clinesmith steering National Nuclear Security Administration contracts to Mueller’s company.

Frederal prosecutors asserted Thursday the criminal operation occurred from at least 2011 to 2021. The Justice Department didn’t identify companies involved in the purported fraud.

Honeywell Federal Manufacturing and Technologies manages the U.S. Department of Energy’s Kansas City National Security Campus.

Clinesmith, who worked for an engineering firm at the National Security Campus, was responsible for equipment used to measure nuclear weapon components. The indictment alleges Mueller paid Clinesmith “over $1 million for surreptitiously performing some or all of the work.”

Allegedly, Clinesmith provided Mueller with information on how much to bid on subcontracts for machining and tooling work to be done at a St. Louis facility. Prosecutors asserted Mueller added hundreds of thousands of dollars in upcharges to bids.

Clinesmith and Mueller were indicted on four counts of wire fraud and honest services wire fraud. They face one count of conspiracy to commit wire fraud and honest services wire fraud. If convicted, they could be sentenced to 20 years in federal prison.

In addition, Mueller was charged with one count of making false statements to federal agents. He allegedly lied about the number of subcontracts tied to the fraud scheme.