Director/Treasurer of Non-Profits Sentenced for Stealing Over $2 Million
Fabricated Documents to Conceal Fraudulent Transfers of Money from the American Registry of Pathology over a Four Year Period
Greenbelt, Maryland – U.S. District Judge Peter J. Messitte sentenced Michael Parry, age 59, of Windermere, Florida today to four years in prison, followed by two years of supervised release and 150 hours of community service, for wire fraud and money laundering.
The sentence was announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Kevin Perkins of the Federal Bureau of Investigation, Baltimore Field Office; and Frank Robey, Director of the U.S. Army Criminal Investigation Command's Major Procurement Fraud Unit.
According to his plea agreement, in 1998 Parry was hired by the American Registry of Pathology (ARP) as its director of operations, and was promoted to executive director in 2014, a role he had been acting in since October 2011. The ARP is a non-profit organization that supports pathology services in the armed forces, and also engages in non-governmental work, including the funding of fellowships and research studies in pathology. ARP has administrative offices in Rockville, Maryland and Camden, Delaware.
The International Registry of Pathology (IRP) is a non-profit organization that promotes the study of pathology on an international scale, by supporting pathologists and pathology students in less-developed countries. Parry served as treasurer of IRP. By October 2011, Parry was in control of IRP bank accounts.
From February 17, 2010 to April 21, 2014, Parry directed the payment of money from an ARP account to an IRP account by wire transfers. Parry falsely described the wire transfers as related to medical studies, research grants or other activities normally funded by ARP. Parry fabricated documents including: falsified invoices from a legitimate ARP vendor related to medical research studies; emails from himself to others purporting to memorialize conversations in which Parry sought and was granted approval for funding fictional research fellowships; and wire transfer documents purportedly showing that payments were made directly from ARP’s accounts to legitimate ARP vendors or educational institutions.
Parry then transferred funds from the IRP account to a personal account he controlled. The total loss to ARP as a result of the fraud scheme was $2,199,504.09. Parry has paid restitution in full.
United States Attorney Rod J. Rosenstein commended the FBI and Army CID for their work in the investigation. Mr. Rosenstein thanked Assistant U.S. Attorneys Joseph R. Baldwin and David L. Salem, who prosecuted the case.