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Redflex bagman jailed in Chicago

AAP logoAAP 13/09/2016 Peter Mitchell

The alleged bagman in the Chicago scandal involving Australian red-light camera operator Redflex has been jailed for six months.

Martin O'Malley, 75, passed envelopes stuffed with thousands of dollars in cash to corrupt Chicago transportation official John Bills.

O'Malley became a key prosecution witness in the investigation, leading to Bills' 10-year jail sentence last month for bribery, conspiracy, extortion and fraud convictions.

Disgraced former chief executive of Redflex's North American operations, Karen Finley, who also pleaded guilty to her role in the scandal and became a prosecution witness against Bills, will be sentenced in Chicago in November.

Redflex officials, including Finley, provided Bills with approximately $US570,000 ($A764,370) cash and other personal benefits in exchange for Bills helping to grow the ASX-listed company's contracts in Chicago to $US124 million ($A166 million).

Bills' friend O'Malley was hired by Redflex as an independent contractor to funnel cash and benefits to Bills.

O'Malley testified how he would meet with Bills at restaurants and delis and pass him envelopes filled with money.

O'Malley also bought Bills a Mercedes-Benz, an Arizona condominium, a boat and vacations with the Redflex payments.

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