By: WCTV Eyewitness News
September 19, 2019
TALLAHASSEE, Fla. (WCTV) — A former FSU Credit Union lending director was sentenced to 66 months in federal prison after he pleaded guilty to 20 counts of bank fraud, aggravated identity theft and theft from a lending institution, the U.S. Department of Justice announced in a press release.
Kevin Robert Lee, 35, stole more than $800,000 while he worked at the credit union, according to the Department of Justice.
Lee was the lending director of FSU Credit Union from June 2014 to November 2017. His position allowed him to open new customer accounts and approve lines of credit. He was also the treasurer of the Tallahassee Chapter of Credit Unions (TCCU), a non-profit organization that pushes for legislation favorable to credit unions.
In 2014, Lee used the TCCU president's name, date of birth and social security number to make a second, fraudulent account for that organization, the Department of Justice said. Lee used the original TCCU account for illegal activity, while leaving the new account for legitimate TCCU transactions.
Lee also made two accounts using his college roommates' names, dates of birth and social security numbers. According to the Department of Justice, Lee used them as "intermediary accounts" into which funds stolen from FSUCU customers were deposited.
Lee transferred money from inactive customer accounts to pay down the lines of credit to the intermediary accounts he credited or deposited them into TCCU's original bank account.
He also used the stolen money to pay off personal credit cards, make mortgage and car payments and pay for his children's private school tuition.
Additionally, Lee filed tax returns in 2016, 2017 and 2018 where he did not claim the money he stole from FSUCU as part of his income, the Department of Justice said.
“One of the most important assets of American financial institutions is customers’ faith in their integrity, and this defendant used his position of trust to steal their funds and the credit union’s reputation,” U.S. attorney Lawrence Keefe said. “This sentence should send a clear message that anyone who tries to violate the public’s trust will end up paying severe consequences.”
After Lee serves 66 months is prison, he will be on supervised release for five years. He was also ordered to pay $979,839.49 in restitution to the FSUCU and its insurance company. Lee also has to pay the IRS' prosecution costs of $11,589.48.
FSUCU officials said accounts affected by Lee's illegal activity were fully restored.
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