A Windfall Forge, Virginia man has been sentenced to 9 years in jail for embezzling funds from his former employer, the Virginia Start-Associated Neurological Harm Compensation Program.
In line with court docket paperwork, John Hunter Raines was the chief monetary officer and deputy director of this system that is named the Start-Harm Program. This system pays financial compensation to households of infants that suffer from mind or spinal twine accidents ensuing from the start course of that render the toddler developmentally and/or cognitively disabled.
Raines’ position required that he oversee the funds, together with roughly $650 million in investments in 2023.
In line with prosecutors, from no less than January 2022 by way of October 2023, Raines stole greater than $6.7 million from the Start-Harm Program, together with through the use of his entry to this system’s checking account to provoke no less than 59 separate wire transactions, sending funds to financial institution accounts in his personal title. He was accused of additionally utilizing the debit card for private acquire.
Prosecutors informed the court docket that Raines spent the embezzled cash on numerous private bills together with eight luxurious golf carts for over $160,000 and a 2023 Chevrolet Suburban; over $100,000 on playing; and $29,000 to an intimate accomplice and tens of hundreds of {dollars} to a checking account within the title of his spouse.
Court docket documets present he additionally spent $9,000 on non-public limousine companies, cryptocurrency, tens of hundreds of {dollars} in the direction of his personal pupil mortgage debt, his mortgage, and different loans; $125,000 for personal jet journey for family and friends. and $19,000 to buy American Gold Eagle Bullion cash and a 100-oz silver bar.
As well as, prosecutors stated Raines “intentionally impeded the statutorily mandated audit course of” by failing to well timed present the Start-Harm Program’s recordsdata to auditors when requested. The statutorily mandated audits proceed to be delayed by over three years.
Raines pled guilty to mail fraud and cash laundering offenses on Oct. 8, 2024.
This system covers what insurance coverage and different applications don’t cowl reminiscent of medical bills, hospital bills, rehabilitation bills, in-home nursing care and extra.
The Virginia Start-Associated Neurological Harm Compensation Program issued an announcement on his sentencing, which stated partly:
“The funds embezzled have been these which may very well be used for medical payments, housing renovations and adaptive gear amongst different functions. We’re grateful to state and federal legislation enforcement and the judicial system for his or her efforts in guaranteeing that Mr. Raines is held totally chargeable for this egregious breach of public belief”
Assistant U.S. Legal professional for the Japanese District of Virginia Avi Panth and former Assistant U.S. Legal professional Kashan Okay. Pathan prosecuted the case.
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