Former Healthcare Executive Charged in $30 Million Embezzlement
A former healthcare executive and high-ranking local leader for The Church of Jesus Christ of Latter-day Saints has been federally charged with wire fraud. Federal prosecutors allege he embezzled over $30 million from his employer.
In April 2019, the man was called to serve as president of the Wenatchee Washington Stake of the LDS church, a prominent lay position overseeing multiple local congregations. At that time, he was serving as the CEO of Community Clinic Network, a Wenatchee-based organization formed to manage healthcare payment contracts for clinics across Washington.
According to federal charging documents filed in the Eastern District of Washington on May 7, 2026, the defendant was simultaneously exploiting his executive roles, eventually serving as CEO, CFO, and COO, to siphon millions of dollars from CCN’s accounts.
Prosecutors allege that between 2017 and 2023, the defendant used his unfettered access to the company’s finances to transfer approximately $30.39 million into a personal E*TRADE account.
Despite having no prior experience trading stocks, options, or exchange-traded funds, the defendant purportedly engaged in highly leveraged, bearish trading strategies influenced by social media.
While he managed to return roughly $7.3 million to CCN over the years, his trading losses quickly mounted, resulting in an alleged net trading loss to the healthcare network of approximately $23 million. Factoring in funds allegedly used for personal purchases, the total loss to the network exceeded $24.3 million.
To conceal the missing funds, the defendant allegedly manipulated CCN’s financial records, voiding checks in the accounting system and electronically altering bank statements. Federal authorities claim he intentionally moved money between CCN’s primary checking account and its secondary savings account, knowing the board of directors was less likely to scrutinize the latter.
Beyond day trading, court records indicate the defendant used the embezzled funds to finance a lavish lifestyle. Purchases allegedly traceable to CCN funds include a 2021 Tesla Model 3 for nearly $78,000, a 2024 Cobalt boat and trailer for $33,000, and a 2024 Chevrolet Silverado EV for more than $100,000.
The federal Information alleges the defendant attempted to hide the truck purchase by labeling the check entry as “CDW Server Upgrades” in the company’s accounting software. Additionally, he is accused of using nearly $1.2 million of CCN money to purchase precious metals, later trading the proceeds for hundreds of American Gold Eagle, Platinum, and Silver Eagle coins.
The scheme reportedly began to unravel as the defendant viewed his trading losses as “insurmountable.” Court documents state that by 2019, the defendant met with an attorney regarding the situation but ultimately decided not to come forward.
In March 2023, he allegedly made a final unsuccessful attempt to recover the lost funds by transferring an additional $5 million into his E*TRADE account.
On October 7, 2024, the defendant voluntarily resigned from CCN through his legal counsel, reportedly admitting in his resignation that he had embezzled and lost approximately $20 million of the network’s money.
The defendant now faces one felony count of wire fraud alongside federal forfeiture allegations.
A federal judge has outlined the potential consequences for a defendant who is found guilty in this case. The maximum sentence includes two decades behind bars in a federal facility, followed by three years of supervised release. Additionally, the court may impose a monetary penalty reaching $250,000, or an amount equal to double the net financial gain or loss derived from the alleged crimes, whichever figure is higher.
Prosecutors have also requested that the court order the seizure and forfeiture of specific assets tied to the case. These items include several motor vehicles, a boat, a collection of precious metal coins, and any residual balances in the defendant’s bank accounts.