On Thursday, December 1, 2022, a former counselor for the Georgia Vocational Rehabilitation Agency (GVRA) was sentenced to five years in federal prison for stealing more than $1.3 million in funding from the GVRA that was intended to help state residents with disabilities. In addition to her prison sentence, the court ordered her to undergo three years of supervised release and pay $1.347 in restitution. 

Karen C. Lyke, formerly known as Karen C. Gregory, along with her ex-husband Kevin M. Gregory, falsified records and created accounts for 13 fake disabled students seeking tuition assistance from GVRA. They opened P.O. Boxes in their own names, and after receiving the checks, the defendants deposited them in their own bank accounts or gave the checks to friends and family who funneled the money back to them.  They used the stolen funds for personal expenses, including cars, jewelry, and a house down payment. They also stole computers and other equipment from GVRA and resold them on eBay. 

Ms. Lyke in September and Mr. Gregory in October each pleaded guilty to one count of conspiring to commit federal program theft. Mr. Gregory is scheduled to be sentenced in January 2023. 

The attorneys at Chilivis Grubman represent clients of all types and sizes in connection with white-collar criminal investigations.  If you need assistance with such a matter, please contact us today.