Two former employees of a Missouri surgery center are facing federal fraud and conspiracy charges after allegedly making about $1,000 worth of personal purchases on a company credit card they opened and using the center's billing account to make nearly $100,000 in other credit card payments.
Sandra Kaepp, who'd served as the business manager for Frontenac Surgery and Spine Care Center, and fellow employee, Gina Winters, allegedly opened an unauthorized Sam's Club credit card in the surgery center's name, listed themselves as the primary users and, over a 1-year period, racked up at least $1,000 worth of purchases, according to a federal grand jury indictment filed late last year.
Using her access to the ASC's financials, Ms. Kaepp also allegedly made phone and Internet payments to various personal credit card accounts with funds from the surgery center's billing account and purchased another $1,000 worth of items using the center's small business bank account.
Ms. Kaepp, 36, and Ms. Winters, 34, were both employed at the Frontenac surgery center from March 2008 until late August and early September 2010, respectively. ASC Administrator Kelly Miller said she is unable to comment at this time, as the facility is still cooperating with authorities on the case.
More charges were added to the indictments of both women during a Jan. 4 arraignment hearing in St. Louis federal court. Ms. Kaepp and Ms. Winters have each pleaded not guilty to the charges and are currently free on unsecured bond, with trial proceedings pending. If found guilty of the Level 4 federal offenses of which they're accused, they could face up to 6 years in federal prison for each count.
Think this type of crime couldn't happen at your surgical facility? You may want to think again.
Irene Tsikitas
