Statement From Flintco, LLC CEO Tom Maxwell

Aug 05, 2013, 17:23 ET from Flintco

TULSA, Okla., Aug. 5, 2013 /PRNewswire/ -- Three former employees of Flintco have been the subject of a federal investigation for wrongful activities. Their actions were clearly in conflict with company policy.

After the completion of projects for the Choctaw Nation, Flintco became aware of the improper activities of Builders Steel and its representatives in dealing with Flintco employees and projects for the Choctaw Nation from 2008 to 2010.

When Flintco learned of potential improprieties, we conducted an internal investigation which began prior to our knowledge of the federal grand jury investigation. Flintco has in place strict business ethics policies which employees are required to read and acknowledge each year to ensure compliance. Our company's investigation revealed that three employees violated these business ethics policies and accepted improper benefits from representatives of Builders Steel during work performed for the Choctaw Nation.

Two of the employees were terminated as a result of the internal company investigation. The other person in question left the company prior to our knowledge of any potential wrongdoing. Two former Flintco employees, Cordell Bugg and Mark Eshenroder, have been named by the US Attorney's office. The third former employee is still under investigation and Flintco is not at liberty to disclose that individual's name. Throughout this process, Flintco has cooperated fully with all inquiries by federal investigative agencies, the United States Attorney's Office, and the grand jury sitting in the United States District Court for the Eastern District of Oklahoma.

Our company recognizes the Choctaw Nation was adversely impacted by the actions of Builders Steel who influenced former Flintco employees and others to commit certain wrongdoings.

Flintco sincerely regrets this isolated incident and the negative impact it has had on the Choctaw Nation. We highly value our relationship with the Choctaw Nation and our company's Native American heritage. We will continue to cooperate with the government and the Choctaw Nation in any further investigation of persons involved.

Because legal proceedings are ongoing, Flintco cannot comment further on this matter at this time.

SOURCE Flintco