NEWS RELEASE
UNITED STATES ATTORNEY'S OFFICE
WESTERN DISTRICT OF VIRGINIA
John L. Brownlee United States Attorney Heidi Coy Public Affairs Specialist |
BB&T Building 310 1st Street, S.W., Room 906 Roanoke, Virginia 24011 (540) 857-2250 FAX (540) 857-2180 |
July 20, 2006
STEPHENS CITY WOMAN CHARGED WITH EMBEZZLING MONEY FROM NON-PROFIT AIDS ORGANIZATION
United States Attorney John L. Brownlee announced today that Nancy Stewart, age 44, of Stephens City, VA is charged with defrauding AIDS Response Effort, Inc, a non-profit service organization in Winchester, Virginia.
Stewart is charged in a two count indictment with mail fraud and embezzlement by a Grand Jury sitting in Roanoke, Virginia.
“The Grand Jury has alleged that Ms. Stewart was embezzling money that was intended to help fight the spread of AIDS through education and testing. She submitted over 90 false tests, wasting valuable time and resources,” said United States Attorney John Brownlee.
According to the indictment, in 2003, Stewart was a case worker with AIDS Response Effort, Inc., (ARE) in Winchester, Virginia. AIDS Response Effort Inc. (ARE) is a non-profit service organization that provides client services and education to residents in Winchester, Clarke County, Frederick County, Shenandoah County, Warren County, and a portion of Page County. ARE receives federal grant money from the U.S. Department of Health and Human Services which is administered by the Virginia Department of Health.
ARE established a program to identify individuals who are at high risk of being infected with HIV/AIDS and individuals who are infected but are unaware of it. The individuals are asked to provide a saliva sample in order to determine whether they are infected. Individuals are also asked to provide information to ARE on a Risk Assessment Questionnaire, which is signed by the individual, certifying the truth of the information on the form.
The saliva sample and the information are sent to Richmond, Virginia by private courier for testing. The results of the tests are mail to ARE through the United States Postal Service.
ARE employees are encouraged to find high risk individuals and are given the opportunity to earn a bonus for each questionnaire completed and each saliva sample obtained. The Grand Jury has charged that between June 1, 2003 and December 31, 2003, Stewart submitted 91 Risk Assessment Questionnaires for fictitious individuals. According to the indictment, Stewart would complete the questionnaire herself and then provided a swab of her own saliva for testing. She received a bonus for each questionnaire and saliva sample submitted.
In January 2004, Stewart was confronted by her supervisor regarding allegations that she had submitted false documentation. Stewart stated that the questionnaires and saliva samples she submitted were from a high risk group of individuals she had identified and contacted, when in fact, they were her own samples.
The case was investigated by Special Agent Jeff Overbeck of the U.S. Department of Health and Human Services and Special Agent Harvey Barlow of the Federal Bureau of Investigation. Assistant United States Attorney C. Patrick Hogeboom will prosecute the case.
A Grand Jury indictment is only a charge and is not evidence of guilt. The defendant is entitled to a fair trial with the burden on the government to prove guilt beyond a reasonable doubt.