Former AEP finance employee sentenced on federal fraud and tax charges – WDBJ

ROANOKE, Va. (WDBJ/US Attorney’s Office Release) – A former American Electric Power employee was sentenced Friday to three years in federal prison for wire fraud and filing false tax returns.

United States Attorney Christopher R. Kavanaugh made the announcement regarding Gregory Thomas Holland, 64 of Roanoke.

“For almost three decades, Gregory Holland was trusted to manage the accounts of American Electric Power customers. However, instead of living up to that trust, Holland betrayed it and stole more than $1.6 million,” Kavanaugh said. “Today’s sentence reflects the seriousness of Holland’s crimes and demonstrates that the prosecution of white-collar crime is one of my Office’s highest priorities.”

“Gregory Holland exploited his position of trust to enrich himself and spend his company’s money to support an excessive lifestyle while not reporting the stolen income to the IRS,” said Darrell Waldon, Special Agent in Charge of the Internal Revenue Service-Criminal Investigation Washington D.C. Field Office. “Our special agents will continue to work with our law enforcement officers to follow the money trail and seek out those who don’t pay their fair share of taxes.”

According to court documents, Holland was employed at AEP for more than 35 years and was responsible for managing AEP’s interests during customer bankruptcies, including filing claims on behalf of AEP as well as processing and collecting customer payments.

In 2001, Kavanaugh said, without anyone else in the company knowing, Holland opened a personal checking account using AEP’s name and address. Between May 2002 and January 2018, he admitted to depositing hundreds of checks intended for AEP into that account and used the money for personal expenses, including membership dues at the Roanoke Country Club, lake house payments, car payments and clothing purchases.

Holland also did not report any of this stolen income on his IRS Form 1040 Individual Income Tax Returns for tax years 2011 through 2017, according to Kavanaugh. The court determined the total loss to AEP customers to be $1,616,591 with an additional $88,254 loss to the IRS.

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