White-collar federal prosecutors Nick Bunch and Christopher Stokes of Dallas notched another victory for the government last week when Vantage Benefits Administrators co-owners Wendy Richie and Jeffrey Richie were sentenced to several years in prison for their roles in a $15.2 million fraud scheme.
A special nod in the investigation goes to Steven Grell, a special agent-in-charge of the Dallas Region for the U.S. Department of Labor – Office of Inspector General.
The Richies pleaded guilty in June to multiple counts of theft when they admitted that they used their business, Vantage, which served as third party administrator for dozens of pension and retirement funds, to submit scores of unauthorized distribution requests from pension plans and retirement plans.
The Red Oak couple diverted those funds into Vantage’s general account and eventually into personal bank accounts.
U.S. District Judge Sam Lindsay of the Northern District of Texas sentenced Ms. Richie to 11 years in prison and Mr. Richie to more than seven years. The judge also ordered the couple to pay $20 million in restitution.
Cort Thomas, a partner at Brown Fox in Dallas, represents Wendy Richie. Stephen Green, a lawyer in the Federal Defender’s Office in Dallas, represents Jeffrey Richie.
“These defendants lined their pockets at the expense of hardworking Americans saving for retirement,” said U.S. Attorney Erin Nealy Cox. “The Northern District of Texas is committed to seeking justice on behalf of vulnerable retirees and workers setting money aside for their golden years and beyond. We are proud to hold the Richies accountable for this brazen misconduct.”
“An important mission of the Office of Inspector General is to investigate allegations of fraud related to Department of Labor,” Grell, of the DOL’s inspector general’s office, said in a statement. “We will continue to work with EBSA [Employee Benefits Security Administration] and our law enforcement partners to safeguard retirement benefits intended for American workers.”