Former VP sentenced for role in Michigan bid rigging conspiracy

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Jonathan Kanter Assistant Attorney General | Official website

Former VP sentenced for role in Michigan bid rigging conspiracy

A former executive of a Michigan asphalt paving company has been sentenced to six months in prison and fined $500,000 for his involvement in bid rigging. Bruce F. Israel, who served as vice-president of Pontiac-based Asphalt Specialists LLC (ASI), admitted guilt in January 2024. He conspired with Al’s Asphalt Paving Company Inc., F. Allied Construction Company Inc., and their employees to manipulate bids.

Israel is one of seven individuals charged amid a federal antitrust investigation targeting the asphalt paving services industry. This probe has also implicated three companies, resulting in over $8.7 million in fines so far.

Assistant Attorney General Abigail Slater from the Justice Department’s Antitrust Division commented, “Bid rigging is cheating, plain and simple.” She emphasized that the defendants undermined free competition for personal gain.

Special Agent Anthony Licari of the Department of Transportation Office of Inspector General noted that this sentence should serve as a warning against prioritizing corporate greed over fair competition. Inspector General Tammy Hull from the United States Postal Service highlighted the seriousness of bid rigging, stating it damages competitive processes.

Court documents reveal that co-conspirators manipulated bid prices to ensure predetermined outcomes while giving customers an illusion of competition. Israel's involvement with Al’s Asphalt spanned from March 2013 to November 2018 and with Allied from July 2017 to May 2021.

In January 2024, ASI pleaded guilty to its role in these conspiracies. Former ASI executives Daniel Israel and Timothy Baugher also pleaded guilty for their participation in October 2023 and January 2025 respectively. ASI was fined $6,500,000 in August 2024.

The case is being prosecuted by the Antitrust Division’s Chicago Office. Individuals with information related to this investigation are encouraged to contact the Antitrust Division’s Complaint Center at 888-647-3258 or visit www.justice.gov/atr/report-violations.