Below you can read the statements made by both US Attorney, Harry S. Mattice, Jr. and the attorney for Reginald Hall

Statement from the US Attorney's office:

Harry S. (Sandy) Mattice, Jr., United States Attorney for the Eastern District of Tennessee, announced today the indictment of Reginald L. Hall, Advanced Integrated Management Services Inc. (AIMSI), and David F. Reeder. The defendants are charged in a forty count indictment with conspiracy, mail fraud, wire fraud, money laundering and obstruction of justice.

Hall, age 45, resides at 22 Rivers Run Way, Oak Ridge, Tennessee. He operated Advanced Integrated Management Services Inc. (AIMSI), at 702 South Illinois Avenue, Suite B203, Oak Ridge, Tennessee. AIMSI provided environmental, information technology, engineering and nuclear detection services for various agencies of the United States. AIMSI was a Section 8(a) company under the Minority Small Business and Capital Ownership Development Program. Reeder, age 54, was an associates of Hall's and resided in Knoxville, Tennessee, owned and controlled Biosterile Technology of Tennessee, Inc. and is currently employed as COO of AIMSI.

The [alleged] criminal violations occurred between October 27, 1995, and October 1, 2004. The [alleged] conspiracy fraud and money laundering counts involved a scheme to steal and convert contract money of the United States to the personal use and benefit of Hall, AIMSI, Reeder, and others. The detailed indictment alleges that Hall would contact Reeder and others and direct them to prepare fraudulent purchase orders and invoices in company names for fictitious work and then submit the fraudulent documents to AIMSI for payment. Hall would approve the fraudulent documents for payment by AIMSI checks. Hall would then direct AIMSI employees to submit the fraudulent documents as overhead and general and administrative expenses to be paid through U.T. Battelle from money and funds of the United States. The original AIMSI checks would then be sent to Reeder and others and deposited into corporate accounts of businesses they owned and controlled. Hall would then [allegedly] direct Reeder and others to retain a portion of the AIMSI check amount for their services then prepare checks from their corporate accounts for the balance payable to other companies Hall owned and controlled. Hall would then [allegedly] use the money for his own personal benefit. Hall also suborned perjury and obstructed justice by directing a grand jury witness to destroy evidence and lie to the grand jury.

Hall is charged in all forty counts of the indictment. AIMSI is charged in counts one through thirty-nine, and Reeder is charged in counts one through four, six through twenty-six and thirty-one through thirty-nine. The conspiracy count carries a maximum penalty of five years imprisonment and a $250,000 fine. The mail and wire fraud counts each carry a maximum penalty of twenty years imprisonment and a $250,000 fine. The money laundering counts each carry a maximum penalty of twenty years imprisonment and a $500,000 fine. The obstruction of justice count carries a maximum penalty of ten years imprisonment and a $250,000 fine.

The investigation was conducted by the FBI, DOE-IG, Defense Criminal Investigative Service (DCIS) and Tennessee Valley Authority Police. The defendants are tentatively scheduled for an initial appearance and arraignment Monday, April 11, 2005 in U.S. Magistrate's Court in Knoxville.

Members of the public are reminded that indictments contain only charges. A defendant is presumed innocent of the charges and it will be the government's burden to prove a defendant's guilt beyond a reasonable doubt at trial.

Shortly after posting the original story on VolunteerTV.com, Volunteer TV News received the following statement from Reggie Hall’s attorney, W. Thomas Dillard:

Statement on behalf of Reggie Hall:

Reggie Hall holds a Masters Degree in Chemical Engineering and worked for ten years at ORNL. He is a recognized expert in developing technologies for the processing and design of treatment systems for nuclear materials. He is innocent of these charges contained in this indictment, and believes that the true facts will reveal that he and his company, Advanced Integrated Management Services, Inc., have provided DOE and other agencies with valuable assistance on many different projects, and each time the agency has received quality work at reasonable prices. He looks forward to clearing his name and that of his company.