Fishersville Man Pleads Guilty to Credit Card Fraud Charges
Joseph Champion Admitted to Defrauding His Former Employer
| U.S. Attorney’s Office June 17, 2010 |
HARRISONBURG, VA—A Fishersville, Virginia resident who stole more than $750,000 from his employer pleaded guilty today to a variety of fraud charges in the United States District Court for the Western District of Virginia.
Joseph Scott Champion, 42, of Fishersville, Virginia, waived his right to indictment this morning and pleaded guilty to four counts of access device fraud related to his former employment as the director of purchasing for the Verona-based American Safety Razor company.
Today in District Court, Champion admitted that between October 2005, and June 2009 he defrauded the American Safety Razor company out of more than $750,000 by obtaining and using seven company-issued credit cards under various versions of his own name (e.g. J.S. Champion, Scott Champion, J. Scott Champion).
“Mr. Champion abused the position of trust he enjoyed from his employer, American Safety Razor,” United States Attorney Timothy J. Heaphy said today. “He abused that trust by using company credit cards to steal money and enrich himself. Champion’s guilty plea demonstrates our commitment to holding people accountable when they attempt to take advantage of their employers or other victims by devising schemes to defraud. We will continue to seek justice in financial fraud matters and help victims of these schemes regain what was lost.”
Champion used a corporate credit card purchasing program to open seven credit card accounts under various versions of his name, each with spending limits well above that of other company issued cards. Champion has admitted he would take cash advances on the fraudulent cards in amounts of up to $100,000. In all, the current balance owed on the aforementioned cards total approximately $758,000. The defendant said he used some of the money to take lavish family vacations and that he has only paid back a small percentage of the card balances.
Each count the defendant pleaded guilty to carries a maximum possible sentence of 10 years in prison and/or a fine of up to $250,000. In determining an actual sentence, the Court will consult the advisory United States Sentencing Guidelines, which provide appropriate sentencing ranges that take into account the severity and characteristics of the offense, the defendant’s criminal history, if any, and other factors. The judge, however, is not bound by those guidelines in determining the sentence. Parole has been abolished in the federal system. Defendants who are given custodial terms must serve nearly all that time. A sentencing hearing regarding this case has been scheduled for September 16, 2010, at noon.
The investigation of the case was conducted by the Federal Bureau of Investigation and the United States Secret Service. Assistant United States Attorney Ronald Huber is prosecuting the case for the United States.