BOSTON - A Saugus woman was charged today in federal court with offenses arising from a scheme to steal funds belonging to the public library in Saugus, Mass.
Linda E. Duffy, 65, was indicted on four counts of mail fraud, 10 counts of money laundering and one count of aggravated identity theft. The indictment alleges that, beginning in 2004, and continuing until she resigned in July 2011, Duffy drained funds from a decoy bank account at Eastern Bank in the name of the Saugus Public Library.
It is alleged that Duffy first diverted charitable donations to the account, as well as checks intended to pay library fees and fines, then transferred the funds from the decoy account to her own personal account at Eastern Bank. She used the money for personal expenses, including jewelry, home repairs, automotive payments, her home mortgage, among other things. She allegedly deposited some of the funds into an account in her daughter’s name as well. According to the indictment, to boost the funds in the library account, Duffy also deceived the GE Foundation, the charitable foundation of General Electric Company, into donating over $400,000 to the library to match non-existent donations by former GE employees and their families. Duffy allegedly deposited these funds into the decoy account as well, and later transferred them to her own account for her personal use. In total, the indictment alleges that Duffy stole approximately over $800,000 in library donations, fines, and fees, including the funds obtained from defrauding the GE Foundation between 2004 and 2011.
If convicted, Duffy faces up to 20 years in prison on the mail fraud and money laundering charges and a mandatory minimum additional two year sentence if convicted of aggravated identity theft. She also would be subject to up to three years of supervised release upon release from prison. If convicted of money laundering, Duffy would be subject to a fine of up to twice the total value of the funds involved in money laundering transactions. The government would also seek restitution for the Saugus Public Library, the GE Foundation, and any other victims of the offenses in the indictment.
United States Attorney Carmen M. Ortiz, Richard DesLauriers, Special Agent in Charge of the Federal Bureau of Investigation - Boston Field Division and Chief Domenic J. DiMella of the Saugus Police Department made the announcement today. The case is being prosecuted by Assistant U.S. Attorney Andrew E. Lelling of Ortiz’s Economic Crimes Unit.
The details contained in the indictment are allegations. The defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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