RICHMOND, Va. (WWBT) - A former construction management company executive was sentenced to 27 months in prison for his role in a corporate accounting scheme.
Officials said the scheme concealed millions of dollars in debt owed by the company.
“Over a five-year period, Patrick Lindsey served an integral role in a large-scale corporate accounting fraud scheme designed to conceal the fact that MGT Construction was more than $20 million in debt,” said Raj Parekh, Acting U.S. Attorney for the Eastern District of Virginia. “That deceit not only maintained the defendant’s job and padded his annual compensation package, but it also proved devastating to the individuals who worked on MGT Construction projects and were left holding the bag after the fraud scheme was uncovered and the company subsequently collapsed. This Office is committed to working with our law enforcement partners to combat corporate malfeasance and hold accountable executives who manipulate others for personal gain.”
According to court documents, Lindsey, 43, of Midlothian, was the Vice President of Preconstruction Services at MGT Construction.
“From 2011 through November 2016, MGT Construction engaged in a fraudulent accounting scheme that sought to conceal MGT’s true financial position through job-cost manipulations within the company’s accounting software system,” a release said.
Officials said as a result of the scheme, MGT filed for Chapter 7 bankruptcy in early 2018.
For more details, click here.
Copyright 2021 WWBT. All rights reserved.