Former state employee sentenced for extortion, money laundering

A 67-year-old former state employee has been sentenced to three years and four months in prison for extortion and money laundering.

Boyce Allen Hudson pleaded guilty to the charges in U.S. District Court in Raleigh.

According to court records, Hudson was employed as a senior field officer in the Legislature and Intergovernmental Affairs Office of the state Department of Environment and Natural Resources. He solicited $196,000 in compensation for agreeing to help expedite a Raleigh's company air and water quality permits from the department.

The company, Agri-Ethanol Products, LLC was trying to construct an ethanol-production plant near Aurora.

Government officials said Hudson helped expedite the permits and was to receive the money after he retired on June 30, 2005. The ethanol company was unable to get construction of the plant under way so Hudson was paid only $5,000.

Hudson accepted $15,000 in October 2005 from an FBI undercover agent posing as a potential investor in Agri-Ethanol Products, as a partial payment toward the $196,000 the company had agreed to pay Hudson for expediting the permits.

Federal prosecutors told the court that Hudson had cooperated with the investigation since the agents confronted him in December 2006. The investigation is continuing.

When Hudson is released from prison he will serve a three-year term of supervised release. He was also ordered to pay a $35,000 fine and restitution of $15,000 to the FBI.