News and Press Releases

Alfred Man Sentenced on Conspiracy, Embezzlement and Tax Charges

FOR IMMEDIATE RELEASE
May 22, 2013

Contact: David B. Joyce
Assistant U.S. Attorney
(207) 780-3257

Portland, Maine: United States Attorney Thomas E. Delahanty II announced that Thomas
Nelson, formerly the Chief Executive Officer of York County Community Action Corporation
("YCCAC"), was sentenced yesterday in United States District Court by Judge Nancy Torresen to
2½ years in prison and 3 years of supervised release for conspiracy, embezzlement from a federally
funded program, tax evasion and signing false tax returns. Nelson was also ordered to pay
$1,345,793 in restitution. Nelson pled guilty to the charges on July 31, 2012.

YCCAC provides social service, health, and educational programs to York County
individuals and families living in poverty. From 2006 to 2010, YCCAC received in excess of
$30,000,000 in federal funds to be used for those purposes. Court records reveal that from 2005 to
2010, Nelson diverted $413,000 in YCCAC funds to a consulting company that had only submitted
one invoice for $8,700. In exchange for the fraudulent payments, the consulting company paid more
than $20,000 of Nelson’s personal expenses, including his home mortgage and also kicked cash back
to Nelson. From 2004 to 2009, Nelson also diverted more than $400,000 in YCCAC funds to a
defunct non-profit entity, New England Community Action Agency ("NECAA"), and recorded those
payments as donations or consulting expenses. When NECAA was operating, Nelson was its
treasurer. After transferring these funds to NECAA, Nelson used these funds to pay personal credit
card and home mortgage bills and to gamble. In all, Nelson admitted embezzling approximately
$900,000 from YCCAC between 2004 and 2010.

From 2005 to 2010, Nelson also failed to report to the Internal Revenue Service ("IRS") over
$400,000 in embezzled income. Finally, in 2006 and 2007, Nelson prepared and signed NECAA tax
returns which suggested the agency had revenue and assets, when, in fact, it did not.

This case was investigated by the IRS - Criminal Investigation, and the Offices of Inspector
General for the Departments of Transportation, Health and Human Services, Housing and Urban
Development, and Agriculture.

 

 

 

 

 

 

Return to Top

USAO Homepage
USAO Briefing Room
Law Enforcement Coordinating Committee

Training and seminars for Federal, State, and Local Law Enforcement Agencies.

Project Safe Childhood

Help us combat the proliferation of sexual exploitation crimes against children.

Project Safe Neighborhoods

Our nation-wide commitment to reducing gun crime in America.

Victim Witness Assistance

Making sure that victims of federal crimes are treated with compassion, fairness and respect.