Brandon Alford, 47, of Washington, Indiana, was sentenced to two years in federal prison after pleading guilty to wire fraud, money laundering, and tax evasion. U.S. District Judge Matthew P. Brookman also ordered Alford to pay restitution totaling $1,006,500 to the victim and $319,793.02 to the IRS.
Alford, who worked as a service writer for a heavy equipment supplier, used his position to defraud his employer. In 2017, he created a fake company, A&D Distributing LLC, and convinced a retailer manager to sell parts through this fictitious entity. Alford promised to handle all logistics while the retailer invoiced his employer for the parts, adding a profit margin.
Between December 2017 and January 2023, Alford submitted 25 fraudulent invoices for parts that were never ordered or delivered. The retailer unknowingly paid $939,500 to A&D Distributing through 22 wire transfers, and his employer ended up paying $1,006,500 for nonexistent parts. Alford ensured the invoices were approved by using his position and concealed the stolen funds by failing to report them on his tax returns.
The fraudulent scheme also caused a tax loss of $253,459 between 2017 and 2022. Alford filed false federal income tax returns, structured transactions, and used A&D Distributing’s bank account to hide the proceeds from the fraud.
Zachary A. Myers, U.S. Attorney for the Southern District of Indiana, stated, “This defendant abused his position of trust and professional relationships to steal a million dollars from his unsuspecting employer, cheat on his taxes, and cover up his crimes.”
The case highlights the significant damage that trusted insiders can cause when they betray their employers and engage in fraudulent activities.
