SEMINOLE COUNTY, Fla. -- A prominent local contractor who worked on high profile Disney projects is under arrest Friday and accused of making child pornography overseas and bringing it to the United States. Investigators said he used the internet to deliver the horrifying pictures.

Lake Buena Vista Construction president, William Irey is being held in the Seminole County jail on a federal charge with no bond. Prosecutors said the husband and father of young children is suicidal.

A federal grand jury indicted Irey of abusing children to make his own child pornography. He's caught up in an ongoing federal investigation called "Operation Emissary" targeting an internet child-porn sharing network.

Several other search warrants have been served in Central Florida and more arrests are expected.

Irey’s company helped build Epcot's Mission:Space attraction. They helped build Hong Kong Disneyland and his company built a $900,000 interactive water playground at Lake Downey Park in Orange County.

Federal investigators said 49-year-old Irey has also been sexually abusing children to create his own child pornography and has been distributing it over the internet.

Irey has young children of his own including a young daughter. He stands to lose his freedom as well as his $500,000, 4,300-square-foot home on a double lot in south Orange County. No one answered the door or the phone at his home Friday.

A neighbor was stunned when we told her about his indictment.

“They're good friends of ours,” she said. “I find it hard to believe.”

She wasn't any less stunned when Eyewitness News showed her his mug shot.

Federal prosecutor Cynthia Hawkins can't talk about the specifics of Irey's case, but said his case would be unusual if he did not have extremely violent pornography involving very young children.

“Torture, S&M bondage, rape of small toddlers,” Hawkins said describing the types of things they expected to find associated in similar instances.

And it's not only still pictures these days; Its video with sound. She said there's a demand for more and more shocking images, so the supply keeps growing.

“Simply by possessing images and acquiring them and looking at them, they're creating a market so that someone else somewhere in the world, in the US or abroad, will go out and victimize another child to meet that demand,” Hawkins added.

A federal grand jury said that's exactly what William Irey did when he traveled to Asia earlier this year. Hawkins said very poor families readily sell their children for child porn. In some cases, villages have webcams set up ready for the children to perform.