Parkville man sentenced for $335 million fraud, $615,000 tax violations

A Parkville, Missouri, man was sentenced Thursday for committing $335 million in fraud and...
A Parkville, Missouri, man was sentenced Thursday for committing $335 million in fraud and $615,000 in tax violations.(ASSOCIATED PRESS)
Published: Sep. 22, 2022 at 4:26 PM CDT
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KANSAS CITY, Mo. (KCTV) - A Parkville, Missouri, man was sentenced in federal court Thursday for his role in a $335 million scheme to defraud federal programs that award contracts to firms owned by minorities, veterans and service-disabled veterans. In a separate case, he was sentenced for filing false tax returns that cheated the government out of more than $615,000 in taxes owed.

“This defendant pocketed millions of dollars in profits that should have gone to firms led by disabled veterans and minority owners,” said U.S. Attorney Teresa Moore. “He not only stole contracts from those firms, he cheated on his taxes and thus stole from honest civilians not paying his fair share. Now he will go to prison and he will pay back every dollar gained through fraud and deception.”

Patrick Michael Dingle, 51, was sentenced to eight years in federal prison without parole. According to a statement from the U.S. Department of Justice, Dingle was ordered by the court to forfeit $4,659,061, representing his profit from the scheme. The court also ordered Dingle to pay $615,847 in restitution to the Internal Revenue Service and slightly more than $82,000 to the Missouri Department of Revenue.

Dingle admitted to conspiring with Matthew C. McPherson, 46, of Olathe, Kansas, to fraudulently obtain contracts set aside by the federal government for award to small businesses owned and controlled by veterans, service-disabled veterans and certified minorities.

Dingle and his co-conspirators committed the fraud while he worked for Zieson Construction Company in North Kansas City, Missouri. As neither certified minorities or veterans, Dingle and McPherson were not eligible for these contracts. And while Zieson was not eligible, the DOJ said the firm received approximately 199 federal contracts set aside for award to minority-owned small businesses and veteran-owned small businesses between 2009 and 2018.

“The defendant’s actions impacted small business owners and veterans, hindered economic welfare and undermined the public’s faith in programs intended to help those who need them,” said Special Agent in Charge Michael Mentavlos.

McPherson was sentenced Jan. 5, 2022, to two years and four months in federal prison without parole after pleading guilty to one count of conspiracy to commit wire fraud and major program fraud. He was ordered to forfeit to the government more than $5.5 million, representing his share of the fraud proceeds.