LOUISVILLE, KY – A Somerset woman has been indicted on federal charges after allegedly committing wire fraud, tax evasion, and aggravated identity theft over a nearly five-year period.
IRS Investigation Uncovers Embezzlement
According to a criminal investigation by the Internal Revenue Service (IRS), Crystal Whitaker engaged in fraudulent activities between March 2020 and March 3, 2025. A federal grand jury in Louisville indicted her on:
Eight counts of wire fraud
Three counts of tax evasion
One count of aggravated identity theft
Authorities allege Whitaker, who worked as a paralegal at the SLG law firm, embezzled funds following the death of attorney J.R.S. Instead of reporting his passing, she allegedly added herself to the firm’s bank accounts and withdrew funds for unauthorized personal use.
Tax Evasion Allegations
Investigators also discovered Whitaker filed a false tax return for 2020, failing to report both her earned and embezzled income. She allegedly did not file tax returns for 2021 and 2022, further compounding the charges against her.
Legal Consequences
If convicted, Whitaker faces a mandatory minimum sentence of two years in prison. The United States Postal Inspection Service assisted the IRS in the investigation.
