Oops! I'm going to need that back!

[MikesVikes]

http://www.startribune.com/467/story/1214834.html

 

Oops! Check for millions misdirected to woman

A Hopkins High School employee is charged with spending and investing much of the $2.6 million check from the state.

 

By Rochelle Olson, Star Tribune

 

Last update: May 31, 2007 – 12:12 AM

 

A single typo erroneously sent a $2.6 million state check to a Hopkins High School employee who is charged with four felonies for allegedly spending much of the money on luxury cars, a U.S. treasury bond and an individual retirement account.

When Sabrina Walker, 37, appeared in Hennepin County District Court on Wednesday, she did not enter a plea. A warrant was issued for her boyfriend, Charles Lockhart, who authorities said helped spend the money.

 

The check was intended for the Hennepin County Medical Center, one of 17 hospitals receiving payment at the time, said Tim Wilkin, assistant Human Services commissioner. A single digit was typed wrong in the vendor number, and the check went to Walker. The typing was proofread by another employee, but the error was not spotted, Wilkin said.

 

"There are safeguards, but obviously they weren't good enough," he said. "It probably has happened before, but probably not to the tune of $2.6 million."

 

Walker and Lockhart, both of Minneapolis, are each charged with four felony counts: theft by swindle, loss of property, failure to pay over state funds and concealing criminal proceeds over $5,000.

 

The assets have been frozen, but the pair is accused of spending much of the money.

 

On March 29, the state Department of Human Services erroneously sent a check to Walker for $2,596,315 through the state's accounting system, according to the complaint. Walker had a state vendor number because she was paid $84 in October as a witness who testified in Hennepin County District Court. The bigger check cleared the state treasury on April 4.

 

Human Services distributes $9 billion annually, $8.3 billion of which is automatically disbursed. The remainder must be manually entered, Wilkin said. An internal review is underway.

 

"We can all relate to typos, but obviously this takes it to another level," he said.

 

Walker's lawyer, Mark Larsen, said the complaint "does not have all the pertinent facts that bear" upon the case. "Once the whole story comes out, you will see a much, much different picture," he said.

 

Investments, jewels and cars

 

This is what authorities said happened to the money:

 

On April 2, Walker and Lockhart opened a joint portfolio account at Wells Fargo Bank at 80 S. 6th St. in Minneapolis. The account provided for checking privileges with the $100,000 opening deposit and a linked brokerage account of $2.4 million. Walker and Lockhart each also withdrew $10,000 in cash, according to the complaint.

 

Slightly more than a week later, Walker bought a certificate of deposit for $500,000 and individual retirement accounts (IRAs) for the tax years 2006 and 2007 for $8,000 total. More than a week after that, Walker and Lockhart met with a bank financial consultant and bought a U.S. treasury bond worth $500,000, the complaint said.

 

The two, who share an address in a house owned by Walker in the Camden neighborhood, also made various purchases with the money, including $5,500 in jewelry and $3,817 at Best Buy. They spent $2,069 on limousine services on April 18 and 27.

 

In April, Walker also bought a 1969 Buick Electra for $5,400 and a 2006 Chrysler Crossfire for $34,861. In May, Walker bought two more vehicles: a 2003 Land Rover Range Rover for $38,967 and a 2009 Land Rover LR2 for $39,971, the complaint said.

 

She also withdrew $100,000 in the form of a cashier's check made out to a former boyfriend -- not Lockhart -- and $20,000 in cash on May 17, the complaint said.

 

Human Services learned of the check when Walker called a financial operations employee on May 17 and asked why it was sent to her. The employee called Walker back and told her she received the check in error and should return it immediately. Walker refused and told the employee her lawyer would be calling the state. She then hung up, the complaint said.

 

A Wells Fargo spokeswoman declined to comment, but Walker was questioned at the bank by more than one person when she was making arrangements for the money. The complaint said she told them the money was from a sealed settlement with the state, but investigators determined that to be a lie.

 

On leave from job

 

Walker was put on paid administrative leave by the school district pending resolution of her case. Since August 2004 she has been an equity and integration specialist providing student support. She is working on a master's degree in social work and earns $35,154, according to schools spokeswoman Eileen Harvala.

 

Walker and Lockhart were initially arrested Friday without warrants but released the next day when a judge did not find probable cause, according to court testimony. Walker was arrested again Tuesday.

 

On Wednesday, District Judge Janet Poston set bail at $200,000 for Walker. The next scheduled court dates for Walker and Lockhart are June 12.

 

Larsen had argued against bail for Walker, saying his client has worked as a social worker for several years, owns a house and is rooted in the community.

 

She is represented by two Lindquist and Vennum lawyers, Terry Fleming on the civil issues and Larsen on criminal matters.

 

They noted that their client did not oppose an asset freeze issued by another judge more than a week ago.

 

"This should be a civil matter. We were cooperating with the attorney general's office," Fleming said.

 

Larsen added, "It's disappointing, when you're cooperating, to see an arrest."

[dabuffbills]

 

well that sucks

[H8tank]

Human Services learned of the check when Walker called a financial operations employee on May 17 and asked why it was sent to her.

 

That was smart.

[Savage Beatings]

Cashier's Check

Virgin Islands

[Fatman]

 

and a 2009 Land Rover LR2 for $39,971, the complaint said.

 

 

 

How much was the DeLorean?

[DemonKnight]

That was smart.

 

 

Seriously.

[Egret]

How much was the DeLorean?

 

It was pretty expensive. They paid to have a Flux Capacitor put in it.

[Hat Trick]

That was smart.

 

 

Most/almost all criminals are stupid, that's why they get caught and that's why they end up in jail. Very few are smart and avoid the consequences of there actions.

[aqualung]

Cashier's Check

Virgin Islands

 

 

 

Good info here.

[dmarc117]

note to self....when someone hands you 2mil, dont ask questions. wait, thats common sense.

 

[MikesVikes]

It was pretty expensive. They paid to have a Flux Capacitor put in it.

 

 

When it's all over, they'll wish they could go back in time and do it differently.

[cre8tiff]

Cashier's Check

Virgin Islands

 

Yup, if you were going to keep it, that is the thing to do.

 

Clearly she somehow thought she deserved it.

[Big Country]

Wow -

 

I once received a check in the mail from an insurance company for a few thousand dollars. Description said it was a commission check of some sort. Made out to my name, and my address, so cashing it would have been no problem.

 

But, as Iwas unsure what it was for, I called the company that issued the check. When I talked to the lady, she kept saying, "You're sure you didn't work for us." After a couple minutes I nearly saud "You're right, I did work fo you. My mistake for forgetting and trying to give you back the check".

 

I sent the check back. Could have used the money, but I figure it would have caught up to me eventually when the real person it was meant for asked about it and I'm just too honest I guess. Of course, it wasnt a 2 million dollar check.

[twiley]

Cashier's Check

Virgin Islands

 

No shiat, I'd be on a plane to the First Bank of Cayman immediately.

 

What a dumbass.