Former City of Garland Employee Sentenced to 57 Months in Prison for Embezzling $1.9 Million

DALLAS—Patricia Leathers, a former risk management adjustor for the City of Garland, Texas, was sentenced this morning by Chief U.S. District Judge Sidney A. Fitzwater to 57 months in prison, following her guilty plea in December 2010 to one count of conspiracy involving theft of City funds, announced U.S. Attorney James T. Jacks of the Northern District of Texas. In addition, Judge Fitzwater ordered that Leathers, 62, of Rowlett, Texas, pay $1,968,479 in restitution to the City of Garland. She must surrender to the Bureau of Prisons on July 26, 2011.

According to documents filed in the case, Leathers was responsible for investigating and resolving third-party liability claims against the City of Garland. She admitted that beginning in 1994 and continuing to March 2008, she conspired with others to embezzle from the City of Garland by creating false claims for damage and repairs to personal and real property. The false claims totaled more than $1.9 million. The reimbursement checks, issued in the true names of co-conspirators as well as fictitious names, were cashed by co-conspirators who then shared the proceeds with Leathers.

In December 2010, Leathers’ sister, Connie M. Powell, 59, of Garland, pleaded guilty to her role in the conspiracy. She was sentenced to a three-year term of probation and ordered to pay $64,142 in restitution.

The investigation was conducted by the FBI, the Garland Police Department and the Garland Offices of the City Attorney and Internal Auditor. Assistant U.S. Attorney Katherine Miller prosecuted the case.