Lyon also paid about $200,000 in bribes to officials in the Federated States of Micronesia to obtain $7.8 million in contracts, according to court documents. The bribes included cash, travel expenses, vehicles, university tuition and an apartment.

Lyon is scheduled to be sentenced in May. He also served on the Honolulu Zoning Board of Appeals.

U.S. Magistrate Judge Kenneth J. Mansfield allowed Lyon to remain out of custody on a $50,000 bond. The judge is allowing him to continue operating his company, but he is prohibited from seeking new government contracts.