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Updated: Tuesday, 10 Jul 2012, 6:09 AM EDT
Published : Monday, 09 Jul 2012, 11:24 PM EDT
PROVIDENCE, R.I. (AP) -- Rhode Island attorney Mary O'Rourke pleaded not guilty Monday to charges that she participated in an alleged kickback scheme that federal prosecutors say cost the U.S. Navy $10 million.
Following her initial court appearance O'Rourke was released on an unsecured $15,000 bond. She faces charges of conspiracy, theft of government property and wire fraud. The case is not expected to go to trial before autumn.
O'Rourke worked for Navy contractor Advanced Solutions for Tomorrow, which had offices in Rhode Island and Georgia. An indictment describes O'Rourke as a long-time associate of Ralph Mariano, a civilian engineer for the Navy. Prosecutors say Mariano arranged for naval funds to be funneled back to him directly or through other companies from 1996 until January 2011. He allegedly shared money from the scheme with his family and associates.
O'Rourke's attorney, Bill Devereaux, said his client was a responsible employee who worked hard at her job.
"Most people who know Mary O'Rourke would say she is a person of impeccable character," he said.
Mariano, of South Arlington, Va., pleaded not guilty Monday. So did his father Ralph Mariano Jr., of North Providence, who faces tax evasion charges related to the case. The two men had offered their pleas earlier this year but were arraigned again after O'Rourke was added to the indictment
As a condition of her release, O'Rourke agreed to relinquish her passport and restrict her travel. U.S. Magistrate Judge Lincoln Almond gave her permission to visit her brother in Seekonk, Mass.
The case dates to February 2011, when Ralph Mariano and Anjan Dutta-Gupta, of Roswell, Ga., who owned Advanced Solutions for Tomorrow, were arrested. The now-defunct company had $120 million in Navy contracts when Dutta-Gupta was arrested. The firm laid off all its employees shortly after Dutta-Gupta's arrest.
Dutta-Gupta has pleaded guilty to paying $8 million in bribes over more than a decade. He has not yet been sentenced.