Illinois Women Sentenced in Federal Wire Fraud Case

United States Court Judge Michael McCuskey has ordered that Karyn E. Graham serve 33 months in prison for federal wire fraud and filing a false tax return.  In addition to prison, she must pay a $500 special assessment fee and nearly $450,000 in restitution.  Graham, 44, entered a guilty plea to these charges in September after being indicted a little over a year ago.

Between 2006 and early 2010, Graham is guilty of stealing more than $343,000 from Shaff Machinery Company where she was employed as the accounting manager. She then would make false accounting entries to cover the thefts.

According to the plea agreement, Graham used the money to write checks to herself and others, and to pay her own bills.  She also admitted to using company credit cards to make personal purchases at Sam’s Club and Staples. The plea agreement said by not reporting the stolen funds as income, she owed the Internal Revenue Service an addition $103,000 in taxes.

Graham had no prior criminal convictions and faced between 33 and 41 months in prison according to the federal sentencing guidelines.  Assistant United States Attorney Eugene Miller recommended the 33 months.  Graham will remain free until she is able to have knee replacement surgery.  A hearing has been scheduled for July 24th to determine what condition she is in and when she can report to prison.

The charges are the result of an investigation by the Internal Revenue Service Criminal Investigation Division and the Champaign County Sheriff’s office.  Assisted United States Attorney Eugene L. Miller prosecuted the case.

Posted in Wire Fraud |