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Former Garland employee to be sentenced Friday for embezzling $1.9 million

DALLAS – A former City of Garland employee, who pled guilty Dec. 15 to embezzling $1.9 million from the City, will be sentenced Friday by Chief U.S. District Judge Sidney A. Fitzwater.

Patricia “Patsy” Leathers, 62, of Rowlett, a former risk management adjustor for the City of Garland pled guilty to one count of conspiracy to commit theft concerning programs receiving federal funds.

She faces a maximum statutory sentence of five years in prison, a $250,000 fine and restitution.

According to documents filed in the case, Leathers – who was responsible for investigating and resolving third-party liability claims against the City of Garland – admitted that beginning in January, 1994, and continuing to March, 2008, she conspired with others to embezzle from the City of Garland by creating false claims for damage and repairs to personal and real property.

The false claims totaled more than $1.9 million. The checks, issued in the true names of co-conspirators as well as fictitious names, were cashed by co-conspirators who shared the proceeds with Leathers.

On December 8, 2010, Leathers’ sister, Connie M. Powell, 59, of Garland, also pled guilty to her role in the conspiracy. She was sentenced March 2, after facing a maximum statutory sentence of five years in prison, a $250,000 fine and restitution.

The investigation was conducted by the FBI, Garland Police Department and  the Garland City Attorney and Internal Auditor offices. Assistant U.S. Attorney Katherine Miller is prosecuting.

No word about Jerry Don Diviney, 66, Duane Milford Stailey, 41, and Sharon Stailey, who were also arrested March 26, 2008, for their involvement in the insurance fraud scheme.

All three have been charged with engaging in organized criminal activity, a first degree felony. If convicted, they could be sentenced up to 99 years in prison and be fined up to $10,000.

By J.J. Smith, Publisher

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1 Response for “Former Garland employee to be sentenced Friday for embezzling $1.9 million”

  1. LJS says:

    Really!? You can steal millions, pay back 250,000, then only serve 5 years. So crime DOES pay.

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