Gainesville Accountant Sentenced To 72 Months In Prison For Wire Fraud And Tax Evasion
ALEXANDRIA, Va. – Melvin Mooring, 54, of Gainesville, Va., was sentenced today to 72 months in prison, followed by three years of supervised release, in connection with the theft of approximately $3.3 million from a Chantilly, Va., company where Mooring served as the chief financial officer. Mooring was also ordered to pay $3,541,003.57 in restitution to his victims.
Neil H. MacBride, United States Attorney for the Eastern District of Virginia; Kathryn Keneally, Assistant Attorney General for the Justice Department’s Tax Division; and Thomas J. Kelly, Special Agent in Charge, Washington, D.C. Field Office, IRS-Criminal Investigation, made the announcement after sentencing by United States District Judge Liam O’Grady. Mooring pleaded guilty to wire fraud and tax evasion charges on March 8, 2013.
From 2000 to 2011, Mooring served as the chief financial officer, or CFO, of K&R Industries, a private company in Chantilly, Va. According to court records, from 2004 to 2011, Mooring stole approximately $3.3 million from the company via company checks and wire transfers, which he routed through the bank account of a company he controlled in order to conceal their fraudulent nature. Mooring also altered company financial statements to conceal the fraud. Mooring used the funds for a luxurious home, travel, jewelry, and a BMW automobile, and to generally fund a comfortable lifestyle.
Mooring also failed to report the stolen funds as income on his individual income tax returns for the years 2005 through 2010, resulting in approximately $865,426 in losses to the United States Treasury.
This case was investigated by IRS Criminal Investigation. Assistant United States Attorney Paul J. Nathanson and Tax Division Trial Attorney Tracy L. Gostyla prosecuted the case on behalf of the United States.
A copy of this press release may be found on the website of the United States Attorney’s Office for the Eastern District of Virginia at http://www.justice.gov/usao/vae. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia at http://www.vaed.uscourts.gov or on https://pcl.uscourts.gov.