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Published on April 24, 2024
Katy Area Economic Development Council's Ex-Employee Sentenced for $280,000 EmbezzlementSource: Unsplash/ Larry Farr

A former administrative assistant from the Katy Area Economic Development Council (KAEDC) convicted of wire fraud was sentenced to prison after pleading guilty to embezzling more than $280,000 from her employer. 49-year-old Janet Leigh Medrano, also known as Janet Jackson, has been ordered to serve 27 months behind bars, followed by three years of supervised release according to a statement obtained by the U.S. Attorney's Office.

Medrano's scheme, which started back in 2016 and continued until her termination in 2019, involved four different fraudulent tactics to funnel funds from the non-profit organization. While claiming she struggled to provide for her family, U.S. District Judge Keith Ellison, upon sentencing Medrano, dismissed the notion, having encountered thousands with more dire financial straits. Janet's deceit left the organization teetering on the edge of financial ruin, according to a representative from KAEDC heard at the hearing.

The fallout for KAEDC was significant when Medrano's theft came to light, as the non-profit was almost pushed to the verge of bankruptcy. The judge made it clear when handing down the sentence that leniency was not on the table in this case.

Medrano, who is granted the ability to voluntarily surrender to a U.S. Bureau of Prisons facility at a future date undetermined, when she was confronted by her employer, tried to cover her tracks by presenting altered bank statements. The investigation, led by the U.S. Postal Inspection Service, called her bluff and unveiled the true extent of her embezzlement, as detailed by the Justice Department’s announcement.

Along with the prison term, Ellison has ordered Medrano to pay restitution amounting to $281,489.91. The case was prosecuted by Assistant U.S. Attorney Christine Lu.