FOX 2 - A Rochester Hills contractor, pleaded guilty today to embezzling over $1 million in government funds from the United States Postal Service announced Acting United States Attorney Saima S. Mohsin.
Michael Rymar, 59, was convicted of embezzling government funds from the United States Postal Service. From 2015 to 2018, USPS engineers awarded Rymar’s company, Horizons Materials & Management LLC, with over $5 million in contracts for repairs on USPS buildings in Michigan and New York.
Rymar faces a maximum sentence of 10 years in prison and a fine of up to $250,000.
The documentation Rymar provided, contained false and fraudulent statements, oftentimes dramatically and falsely overstating the amount he paid subcontractors to complete the repairs, prosecutors said.
Rymar also falsely inflated the amount he paid his own employees and the cost of materials on USPS jobs.
Over the course of the three-plus-year fraud scheme, Rymar stole over $1.2 million from USPS out of the $5 million in contracts he was awarded.
The government is also seeking restitution of the stolen funds. The government has also sought forfeiture of a number of financial accounts held by Rymar, including two accounts that are valued at over $1.2 million.
The Acting United States Attorney Mohsin stated, "Today’s guilty plea shows our office’s commitment to protecting the public’s funds and to prosecute individuals who steal from government agencies."
"The Postal Service spends hundreds of millions of dollars on new construction, maintenance, and renovations of facilities each year. Along with the Department of Justice, the USPS Office of Inspector General will aggressively investigate those who would engage in this type of fraud." said Special Agent in Charge Kenneth Cleevely of the United States Postal Service, Office of Inspector General.