ST. LOUIS – 72-year-old Brian Kowert Sr. is heading to prison for defrauding a program meant to empower minorities.
“We’re not going to tolerate it,” said Hal Goldsmith, a federal assistant prosecutor. “This program is to right the wrong, if you will, of years and years of racism in the construction trades.”
Court records showed defendant Kowert “…recruited an elderly Black business owner as a pass-through, paying him $2,000 in order to pass through hundreds of thousands of dollars to non-minority owned and operated business.”
“It was simple in the way he did it, but it wasn’t simple to detect,” Goldsmith said.
The building in question is owned by a business that the feds say is also a victim. Court records indicated ‘Greater Goods’ not only knew about the scheme but also moved to the city, renovating a building to give back.
The business lost hundreds of thousands of dollars in tax incentives when Kowert’s scheme was uncovered, with the business adding, “Beyond the financial impact, we were disappointed to learn that (Kowert’s company) chose to conduct business in a way that didn’t align with our values.”
FOX 2 also caught up with the man named in court records as being the minority “pass through.”
“I was used,” said Charles Kirkwood, 83.
Kirkwood said he was doing carpentry work on other projects for Kowert.
“I don’t know what all he was doing really, to be honest with you; I’m not sure,” he said.
“The program couldn’t possibly be more flawed,” said Joel Schwartz, Kowert’s attorney.
Schwartz said his client has a history of trying to make positive differences for minority businesses, known as MBEs.
Schwartz said Kowert has made an effort to “…try to educate and teach so that there are more qualified MBEs to complete projects for the city.”
Judge Henry Autrey sentenced Kowert to 18 months in prison and issued a $100,000 fine.
The judge also ordered Kowert to pay Greater Goods restitution of the $329,965 it lost in tax abatement funds – an amount the defendant brought to his sentencing in the form of a cashier’s check.