FOR IMMEDIATE RELEASE
Wednesday, September 26, 2012
For Information Contact:
Former U.S. Postal Service Executive Pleads Guilty
To Embezzling Government Funds
- Defendant Falsely Claimed over $17,000 in Travel Expenses That He Did Not Incur -
WASHINGTON - David Kosturko, a former executive of the U.S. Postal Service, pled guilty today to a federal charge stemming from his embezzlement of more than $17,000 from the agency, announced U.S. Attorney Ronald C. Machen Jr. and Curtis Lembke, Special Agent in Charge, Office of Inspector General, U.S. Postal Service.
Kosturko, 57, of Amissville, Va., entered his guilty plea to one count of theft of government monies before the Honorable Magistrate Judge John M. Facciola of the U.S. District Court for the District of Columbia. No sentencing date was set. Kosturko faces a statutory maximum sentence of five years of imprisonment. Under federal guidelines, Kosturko likely faces a sentencing range of up to six months in prison.
According to a statement of offense agreed to by the government and Kosturko, the defendant was an Assistant Treasurer with the U.S. Postal Service and commonly traveled throughout the United States in that position. To pay expenses associated with this travel, Kosturko used his government-issued travel card, which functioned as a credit and debit card.
During his time with the Postal Service, Kosturko often booked multiple airline tickets for a single business trip. He would travel on the less expensive flight, but then falsely claim to the Postal Service that he had flown on the more expensive flight. Kosturko would request and receive reimbursement for the more expensive flight, even though the fare had been automatically refunded to his travel card when he did not board the flight, thereby leading to a surplus on his travel card. Kosturko also requested reimbursement for hotel charges when those charges had already been refunded to him.
For the years 2007-2011, on 35 occasions, Kosturko requested and received reimbursement travel expenses that he did not incur, resulting in a loss of over $17,000 to the Postal Service. Kosturko spent these fraudulently obtained funds on personal purchases such as home improvement and entertainment at restaurants and night clubs.
In announcing today’s guilty plea, U.S. Attorney Machen and Special Agent in Charge Lembke commended the investigative efforts of the U.S. Postal Service’s Office of Inspector General. They also praised the work of members of the U.S. Attorney’s Office, including Legal Assistant Angela Lawrence, Paralegal Specialist Lenisse Edloe, and Assistant U.S. Attorney Chris Kavanaugh, who is prosecuting the case.