Business owners in Pennsylvania must keep detailed administrative and financial records of their business’ practices. Since business owners are in complete control of documentation, it may be tempting to falsify records for financial or material gain. However, according to the Pennsylvania General Assembly, a person commits fraud if they cause others to rely on a false statement that provides information about their business.
A woman who ran a daycare recently committed mail fraud after creating false stories of threats and vandalism and telling others to write letters that stated children no longer used her facility. The woman also used her daycare to defraud a food program that gives facilities compensation for meals that they provide to eligible children at their location. For several years, the woman sought reimbursements for meals that children at her center never received and was able to acquire over $500,000 in funds, which she used for herself. To accomplish this, she falsified records at her daycare and made fake names for children to receive additional reimbursements. The woman is now facing charges for mail fraud, three counts of wire fraud and two counts of conspiracy.
In Pennsylvania, committing fraud related to a business is a crime that is not taken lightly. Not only will business owners face multiple legal charges, but they may also compromise their business’ reputation and operations. Business owners facing charges for fraud may benefit from working with an attorney who can work to create a strong defense and potentially reduce the charges made against them.
Source: Gloucester Township Patch, “Sicklerville Woman Charged With Using Philadelphia Daycares to Commit Fraud,” Anthony Bellano, July 15, 2014