former secretary pleads guilty to bank fraud;
embezzled $285,000 from masonic organization
KANSAS CITY, Mo. – Beth Phillips, United States Attorney for the Western District of Missouri, announced that a Prairie Village, Kan., man pleaded guilty in federal court today to embezzling nearly $285,000 from the York Rite Masonic Bodies.
Kirk McDaniel, Jr., 75, of Prairie Village, pleaded guilty before U.S. District Judge Gary A. Fenner to the charge contained in a March 2, 2011, indictment.
McDaniel was the secretary of the York Rite Masonic Bodies in Kansas City, Mo. The fraternal organization is comprised of Oriental Commandery #35 Knights Templar, Orient Chapter #102 Royal Arch Masons, and Shekinah Council #24 Cryptic Masons. While serving as secretary, McDaniel also took over certain duties of the treasurer, including maintaining the bank accounts of each of the York Rite Masonic Bodies, writing checks, and transferring funds as needed between the accounts.
By pleading guilty today, McDaniel admitted that, from June 2000 through September 2005, he stole approximately $284,675 from the organization. He has repaid the organization approximately $105,012.
McDaniel transferred funds from the York Rite Masonic Bodies bank account into a bank account he opened at Missouri Bank and Trust and into three investment accounts he opened at Edward Jones. The names on the bank account and the investment accounts were similar to the names of the legitimate accounts, but the transfers were made without the knowledge or authorization of the organization. McDaniel used the funds he transferred into those accounts for his personal benefit and the benefit of others.
The fraud scheme also involved several actions, including bank transfers and false entries on financial statements, taken by McDaniel to conceal his thefts.
Under federal statutes, McDaniel is subject to a sentence of up to 30 years in federal prison without parole, plus a fine up to $1 million and an order of restitution. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Linda Parker Marshall. It was investigated by the Federal Bureau of Investigation.
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