CLEARFIELD – A former local businessman who spent time in prison for his involvement in a $3.6 million check-kiting scheme will no longer have a job offer at Clearfield County Government.
Mark Michael of Clearfield was hired on Tuesday as the new deputy controller at the recommendation of Controller Tom Adamson.
Under Pennsylvania County Code, elected officials, such as the controller, district attorney, prothonotary, etc., have discretion over hiring and firing in their own departments.
However, following the board meeting, the commissioners learned Michael had been found guilty of one count of conspiracy to commit bank fraud and one count of bank fraud in June of 2013.
According to previously-published press releases from the U.S. Justice Department, Michael was one of three former Dart Trucking business executives charged in the check-kiting scheme.
Michael, chief financial officer, Timothy Kephart, chief executive officer, and Lee Stoneburner, president, were all charged in August of 2011 through the U.S. District Court in Northern Ohio.
The scheme spanned an approximate 2.5-year period from October of 2007 until February of 2010, when bad checks were drawn against accounts at the Columbiana, Ohio Huntington Bank.
The department said the men conspired to kite checks to pay their bills, expenses and salaries by depositing bad checks into controlled disbursements accounts.
Michael was sentenced to 2.5 years in prison in September of 2013 by U.S. District Judge Dan Aaron Polster.
Though Adamson had expressed “no concerns” over his new hire, he informed the commissioners Thursday morning that he no longer planned to bring Michael on his staff.
“We’ve been informed by the controller that he plans to rescind his request to hire Mark Michael as the new deputy controller,” the commissioners stated in a phone interview with GANT News.
“We’re pleased with Controller Adamson’s decision; it was the right thing to do. One of his duties – as controller – is to protect the county from fraud … and this will remove any liabilities.”
The commissioners expect to receive a formal personnel request from Adamson and to take action at their next regular meeting Aug. 25.
If Adamson would change his course, the commissioners said they are prepared to bring this hiring to a halt. “We feel we have that obligation, that duty to protect our taxpayers’ funds.”