Former Employee Federally Charged with Embezzling $150,000 from Jasper Healthcare Nonprofit Over Nearly a Decade
EVANSVILLE- A federal grand jury indicted Mariama Wilson, 50, William Payne, 49, and Terrance Hardiman, 32, all of Evansville, on five counts of wire fraud and conspiracy to commit wire fraud. Hardiman was also charged with one count of money laundering. The indictment was unsealed on April 26, 2023, following the three defendants’ arrests and initial appearances.
As alleged in the indictment, in Indiana, a township is a local governmental entity within a county that uses public funds to provide certain services to residents. A township is administered by an elected official called a Township Trustee. Pigeon Township is one of eight townships in Vanderburgh County. The mission of the Trustee’s Office is to provide emergency financial relief to individuals residing in Pigeon Township who need assistance paying for essentials such as rent, utilities, and prescriptions. Wilson is the elected Pigeon Township Trustee and Payne works in the Trustee’s Office as the Director of Community Relations and Shelter Coordinator.
In February 2020, Wilson and Payne agreed to hire Hardiman and his business, Hardiman Construction LLC, to remodel a homeless shelter and develop a food pantry, in exchange for Hardiman agreeing to kick back a portion of the funds that he received from the Trustee’s Office to Wilson and Payne.
As alleged in the indictment, Wilson and Payne caused the Trustee’s Office to pay inflated invoices that were submitted by Hardiman for the construction projects, and then pocketed the inflated amounts. Wilson, Payne, and Hardiman visited the homeless shelter and food pantry together, and during those visits, they identified specific projects that needed to be completed. Wilson, Payne, and Hardiman discussed how much the projects should cost and by how much Hardiman should inflate those costs to cover the kickbacks to Wilson and Payne. In general, they agreed to inflate the total amount billed in each invoice by $1,000 to $2,000.
Hardiman prepared invoices with fraudulently inflated charges to include the kickbacks, as agreed, and submitted them to Wilson and Payne for payment. Wilson or Payne approved the inflated invoices and caused the Trustee’s Office to issue checks to Hardiman Construction.
Hardiman deposited the checks and then withdrew all or nearly all the deposited amount in cash, for the purpose of kicking back a portion of the proceeds to Wilson and Payne. Hardiman placed cash in an envelope and hand-delivered the envelope to Wilson or Payne. Wilson and Payne then divided the kickbacks.
In total, between February 11, 2020, and May 16, 2022, the Trustee’s Office paid Hardiman approximately $215,371 for the homeless shelter and food pantry projects. As a result of the kickback scheme, Wilson and Payne received approximately $38,000 in total, or approximately $19,000 each.
“Government officials who engage in corruption betray the public’s trust, for their personal gain,” said U.S. Attorney for the Southern District of Indiana, Zachary A. Myers. “Inflated invoices and kickbacks rob the taxpayers of their hard-earned money and damage the trust that citizens are entitled to have in their government. The investigation and charges announced today demonstrate our office’s commitment to work with our federal, state, and local law enforcement partners to root out public corruption at all levels of government.”
“There are consequences when public officials illegally use public funds for their own personal benefit. In this case, the defendants prioritized their greed over the interests of the citizens they were supposed to serve,” said FBI Indianapolis Special Agent in Charge Herbert J. Stapleton. “The FBI and our law enforcement partners will always work together to investigate allegations such as this and ensure perpetrators are held accountable.”
“We should all expect our public officials to act with integrity,” said Justin Campbell, Special Agent in Charge of the Chicago Field Office of Internal Revenue Service – Criminal Investigation. “When these officials violate the trust we have placed in them, there should be consequences. IRS-Criminal Investigation will continue to support our law enforcement partners in ensuring that public funds are spent in the taxpayers’ best interests.”
“I’m proud that we have honest individuals willing to report corruption when they see it, knowing that silence in the face of misconduct is not an option,” said Vanderburgh County Sheriff Noah Robinson. “The alleged crimes committed by these officials are a slap in the face to the community in which we live. This corrupt behavior runs counter to the oath they took, and certainly not what was promised to this community.”
“As Law Enforcement Officers, we have to hold people accountable and keep them honest, regardless of their positions,” said Evansville Police Chief Billy Bolin. “Actions like these defendants cause the community to lose faith in those entrusted with positions of power.”
If convicted, Wilson, Payne, and Hardiman face up to 20 years in federal prison and up to 3 years of supervised release each, as well as a fine. A federal district court judge will determine the actual sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Zachary A. Myers, U.S. Attorney for the Southern District of Indiana, Justin Campbell, Special Agent in Charge of IRS-Criminal Investigation’s Chicago Field Office, Chicago Field Office, Herbert J. Stapleton, Special Agent in Charge of the FBI’s Indianapolis Field Office, Paul Joyce, State Examiner for the Indiana State Board of Accounts, Jeffrey R. Adams, Special Agent in Charge of the U.S. Secret Service’s Indianapolis Field Office, Billy Bolin, Chief of Evansville Police Department, and Noah Robinson, Vanderburgh County Sheriff made the announcement.
U.S. Attorney Myers thanked Assistant United States Attorney Matthew B. Miller, who is prosecuting this case.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.