Former Wayne County employee accused of working with supervisor to steal more than $1.7 million
WAYNE COUNTY, Mich. (FOX 2) - A former Wayne County Roads Division employee is accused of stealing more than $1.7 million by selling illegally acquired generators.
John L. Gibson, 54, of Detroit with one count of conspiring to embezzle county funds, and three counts of stealing county funds.
Authorities say Gibson worked with his supervisor Kevin Gunn, 64, of West Bloomfield, and others during the scheme. From January 2019 to August 2021, they allegedly used taxpayer funds to make unauthorized purchases of generators and other power equipment then sold the items for personal profit.
The vendors would then submit invoices for these items to the county. In order to conceal the scheme to defraud, Gunn allegedly told the vendors to falsify the invoices they submitted to the roads division, and list items the vendors were authorized to sell to the county under their contracts, rather than the generators and power equipment they were unlawfully acquiring at Gunn’s and Gibson’s request.
Employees would then approve and pay each vendor’s invoice with taxpayer funds. After these fraudulent purchases were verified and approved, Gibson allegedly took the equipment, paid Gunn for the items, and resold them.
A review of invoices from Wayne County vendors revealed that between January 16, 2019, and August 3, 2021, Wayne County vendors purchased 596 generators, and a variety of other power equipment including lawnmowers, chainsaws, and backpack blowers. The purchase of these items was not authorized under any vendor contract with Wayne County nor were the items ever provided to or used by Wayne County.
An investigation started in March 2021. Investigators first discovered Gunn's alleged activity through a search warrant. Other investigations led them to Gibson.
Both men were arrested in May 2022.
"We must be ever vigilant about rooting out corruption wherever we find it. Especially when it lands close to home. CEO Warren Evans, my detectives and I share a vision of a corruption-free Wayne County," said Prosecutor Kym Worthy.