A former Whitman Police sergeant pleaded guilty in federal court Tuesday, May 16 to wire fraud, preparing false income tax returns for clients of his tax preparation business, obstructing the internal revenue laws and misappropriating funds from the accounts of disabled veterans while he was a fiduciary appointed by the U.S. Department of Veteran’s Affairs.
The plea was announced by Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department Tax Division and Acting U.S. Attorney William D. Weinreb for the District of Massachusetts in a press release from the Public Affairs Office of the Department of Justice-Washington.
Glenn P. Pearson, 61, admitted to causing a tax loss of more than $1.5 million.
Pearson used his position as a fiduciary to misappropriate and embezzle more than $250,000 in VA-issued benefit money from the accounts of several veterans, according to the statement.
In court documents, officials stated Pearson obstructed the IRS by falsifying statements and documents for his clients, who were being audited.
“Mr. Pearson now finds himself on the opposite end of the very laws he was once sworn to uphold,” said Special Agent in Charge Harold H. Shaw of the FBI’s Boston Field Division. “He took advantage of his position as a fiduciary to steal hundreds of thousands of dollars from disabled veterans. The FBI will do everything we can to protect citizens against fraud, and stop those who steal from them.”
Pearson is scheduled for sentencing Sept. 19, facing a statutory maximum sentence of 20 years in prison for wire fraud, five years for misappropriation of funds by a fiduciary, three years for preparing false tax returns, and three years for attempting to interfere with the administration of the internal revenue laws. As part of his plea he must make restitution to the veteran’s, the VA and IRS.
Pearson was reportedly fired as a Whitman police officer in early 2001 amid allegations of numerous inappropriate actions while on the job.