Former IRS Employees Plead Guilty to Receiving Unemployment Benefits While Employed

[kcjenkins]

Kansas City, Mo. (May 30, 2014)

By Michael Cohn, Editor-in-Chief, AccountingToday.com

Six former Internal Revenue Service employees have pleaded guilty to receiving unemployment benefits while they worked at the agency.

Michelle Glavin, 32, and Christopher Castillo, 34, both of Kansas City, Mo., pleaded guilty Wednesday in separate appearances before U.S. District Judge Dean Whipple to the charge contained in a Dec. 10, 2013 federal indictment. Their co-defendants, Jesse Love, 61, and Tiffani Harding, 27, both of Kansas City, Mo., Shalonda Bradley, 41, of Grandview, Mo., and Berneta Weedin, 59, of Platte Woods, Mo., pleaded guilty on Tuesday.

By pleading guilty, each of the defendants admitted they claimed unemployment benefits while employed by the IRS. The defendants are no longer employed at the agency.

Each defendant also pleaded guilty to stealing government property by fraudulently claiming unemployment benefits to which they were not entitled. Under the terms of their plea agreements, the defendants must pay restitution for the amount of benefits illegally received.

Glavin received $5,144 in Missouri unemployment benefits, plus $16,204 in federal benefits while employed at the IRS, for a total of $21,348. Castillo obtained $6,365 in Missouri benefits and $4,727.80 in federal benefits, totaling $11,093. Love got $8,214 in Missouri benefits and$1,404 in federal benefits, for a total of $9,618. Harding received $2,664 in Missouri benefits, plus $8,650 in federal benefits, for a total of $11,315. Bradley obtained $6,279 in Missouri benefits, plus $250 in federal benefits, totaling $6,529. Weedin got $3,014 in Missouri benefits, plus $3,113 in federal benefits, for a total of $6,127.

The IRS often hires seasonal employees to help out during busy season who can legally claim unemployment benefits during the parts of the year when they are not working or being paid.

[kcjenkins]

Gee, if someone robbed a bank, do you think they could get away with just giving the money back once they were caught ? What message does this send?

[mcb39]

Extreme Disillusionment! I wonder if they will be that kind to the client who just came in last week and hasn't filed for four years. I doubt it. I will take my retainer to the bank today and then start working on 2010.

[kcjenkins]

The "punishment" really infuriates me. Based on the amounts involved, NONE of these simply got an extra check or two before they remembered to notify the UI office. This was deliberate and long-term theft. At least some jail time, plus a fine, needed to be added to the 'restitution'.

[Lee B]

As a practical matter research over the last 50 years shows that given the opportunity between 10 to 15 percent of employees

will steal. I personally have been involved directly and indirectly in over a dozen employee theft investigations over the years.

In most cases they were opportunity thefts i.e., it was too easy to steal. The 10 to 15 % ratio holds true thru small business, big business, non profits and governmental agencies. The IRS is no different. It's great to say, "They should be held to a higher standard" but human nature says it's going to happen everywhere. Anyone remember the Secret Service party in Columbia

that got totally out of control.

[joanmcq]

These are low level seasonal employees. They work in the mail room, or maybe in data entry. Apparently they kept filing UE after they were hired back, or hired in the first place, and the state unemployment office didn't catch on. Fairly stupid too; they didn't think this would be caught? It doesn't say whether this was years of misfiling, or if it was for 2013 or 2014 UE.

[kcjenkins]

Sure, Joan, these were seasonal workers, and I agree that ALL businesses with multiple employees have some level of crooked employees. What upset me about this story was the SENTENCE they got. This 'plea deal' makes a mockery of the law.

[mcb39]

NT From my Son the Used Car Dealer:

The IRS suspected a used car dealer wasn't paying proper wages to his mechanic and sent an agent to investigate him.

IRS Auditor: "I need a list of your employees and how much you pay them".

Used Car Dealer: "Well, there's Clarence, my mechanic, he's been with me for 3 years. I pay him $1,000 a week plus free room and board. Then there's the mentally challenged guy. He works about 18 hours every day and does about 90% of the work around here. He makes about $20 per week, pays his own room and board, and I buy him a bottle of Bacardi rum and a dozen BudLights every Saturday night so he can cope with life. He also gets to sleep with my girlfriend occasionally".

IRS Auditor: "That's the guy I want to talk to - the mentally challenged one". Used Car Dealer: "That would be me. What would you like to know"?

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