PITTSBURGH, PA – A retired Allegheny County, Pennsylvania resident was sentenced to 30 months in prison in Pittsburgh federal court and sentenced to pay a $ 1,407,649 refund to the Internal Revenue Service for tax fraud. Acting United States attorney Stephen R. Kaufman announced today.
Senior United States District Judge Donetta W. Ambrose passed the verdict on 52-year-old David Reiter, who is currently serving a five to ten year prison term. The federal sentence is served at the same time as his state sentence.
According to information provided to the court from and about 2011 until his termination of employment in 2018, Reiter was a company administrator at Westminster Presbyterian Church in Upper St. Clair, PA, regularly involved in a specimen of deception and des Fraud involves embezzlement and conversion of $ 1.2 million Church funds for personal use. The court was also informed that Reiter had not overpaid income tax and filed false income tax returns in connection with the embezzlement, which significantly underreported his personal income.
“David Reiter embezzled more than a million dollars in church funds and used them for his own benefit while he committed business and personal tax fraud,” said US attorney Kaufman. “Violations of the federal tax law have serious consequences that we saw today.”
“In his role as corporate administrator of the church, Mr. Reiter abused his position of power by embezzling funds that the church might otherwise have used to fulfill its mission,” said Thomas Fattorusso, special agent for the IRS criminal investigation department. “By fraudulently failing to report the misappropriated funds as income on his personal tax returns, Mr. Reiter violated a fundamental tax rule that gross income means all income from any source. Mr. Reiter committed the crime, too, didn’t to pay IRS-CI will continue to prosecute anyone who collects labor taxes and does not remit them.
United States Assistant Attorney Gregory C. Melucci is pursuing this case on behalf of the government.
The Internal Revenue Service Criminal Police conducted the investigation that led to the prosecution of David Reiter.