Former Employee Sentenced in Scheme Against Home Depot
Defendant Took Over $1.4 Million in Bribes
| U.S. Attorney’s Office October 19, 2010 |
ATLANTA—RONALD DOUGLASS MATHENY, II, 43, of Chattanooga, Tennessee, was sentenced today to federal prison by United States District Judge Richard W. Story for MATHENY’s role in a scheme to defraud his former employer, Home Depot.
United States Attorney Sally Quillian Yates said, “This defendant abused the trust and authority given to him by his employer and lined his own pockets at the company's expense. For this fraud against his employer, he now goes to federal prison.”
IRS Special Agent In Charge Reginael D. McDaniel said: “It is vital for the strength of our economy for our large corporations to be free of individuals who succumb to greed and corruption. IRS Criminal Investigation is committed to actively pursuing corporate fraud at any level.”
MATHENY was sentenced to serve two years and three months in federal prison to be followed by three years of supervised release on charges of conspiracy to commit mail fraud and wire fraud and conspiracy to commit money laundering. MATHENY was also ordered to pay restitution in the amount of $502,000, pay a fine of $7,500, and ordered to perform 200 hours of community service. MATHENY pleaded guilty to the charges on May 19, 2009.
According to United States Attorney Yates and information presented in court: MATHENY was employed by Home Depot from May 1987 until July 2007. From May 2002 through April 2005, MATHENY held the position of product merchant in Home Depot's flooring department and was responsible for overseeing the location of flooring merchandise in all of Home Depot's retail stores and for locating outside firms to facilitate the display of flooring products within those stores. MATHENY and several unnamed co-conspirators arranged for Home Depot to purchase items for resale in Home Depot's retail stores on less than the most advantageous terms to Home Depot, and to have the co-conspirators supply services on less than the most advantageous terms to Home Depot. In return, MATHENY'S co-conspirators paid him approximately $1,471,467.64. MATHENY is no longer employed by Home Depot.
This case was investigated by the Internal Revenue Service-Criminal Investigation and the Federal Bureau of Investigation.
John R. Fitzpatrick and Barbara W. Cash, Trial Attorneys for the United States Department of Justice Antitrust Division, Atlanta Field Office, and Assistant United States Attorneys Russell Phillips, Michael J. Brown, Gerald S. Sachs, and Sally Molloy prosecuted the case.
For further information please contact Sally Q. Yates, United States Attorney, or Charysse L. Alexander, Executive Assistant United States Attorney, through Patrick Crosby, Public Affairs Officer, U.S. Attorney's Office, at (404) 581-6016. The Internet address for the HomePage for the U.S. Attorney's Office for the Northern District of Georgia is www.justice.gov/usao/gan.