Former central Pennsylvania city manager and employee facing more federal money laundering charges
JOHNSTOWN, Pa. (KDKA) - A former central Pennsylvania city manager and employee are once again facing charges for stealing and misappropriating millions of dollars in public funds.
A federal grand jury in Johnstown handed down a 10-count superseding indictment that charges former DuBois City Manager John "Herm" Suplizio and a former city employee, Roberta Shaffer with conspiracy, federal program fraud, and money laundering. The indictment expands the timeline of a prior indictment the two were facing for taking money from the city.
The indictment states that from May 2008 to around March 2022, Suplizo and Shaffer knowingly conspired to embezzle, steal, convert, and misapply over $1.5 million owned by the city of DuBois.
Suplizo and Shaffer are alleged to have opened bank accounts without the knowledge of the city and proceeded to funnel fees from a waste management company and two oil and gas companies into those secret accounts. From those accounts, they made large cash withdrawals, wrote checks to themselves and others, and used the money to pay personal debts.
They also are accused of making extravagant purchases such as vacations, political dinners, and credit card payments.
The indictment alleges that many of the transactions were in excess of $10,000 which constitutes money laundering under federal law.
The original indictment accused Suplizo and Shaffer of money laundering from 2014 to 2022, now evidence shows the scheme happened earlier, beginning in 2008.
Now they are facing sentences of up to either 5-10 years in prison for each count and or fines of $250,000 or $500,000.
