Mother, daughter indicted for defrauding Red Cross

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By The Staff

MOUNT WASHINGTON -- Over a 10-year period, the American Red Cross may have defrauded over $133,000 for respite care that was never administered.

And a pair of Mount Washington women have been indicted in federal court and could face up to 30 years in prison.

On Monday, a federal grand jury indicted Sylvia Rednour and Jennifer Roby on charges of conspiracy, mail fraud and forgery.

They were taken into custody on Wednesday and housed in the Oldham County Jail.

The pair were indicted on 64 counts on allegations which ran from November 1998 through Nov. 30, 2007.

According to a release by the U.S. District Court of Western Kentucky, Rednour and Roby submitted fraudulent invoices to Seven Counties Services and to the American Red Cross.

The American Red Cross contracted with Seven Counties Services to provide respite services for families with special needs.

According to the indictment, the invoices submitted caused checks to be mailed to individuals supposedly receiving respite care services.

The grand jury charged that those respite services were never provided to the individuals and the checks made payable to those individuals were fradulently endorsed by Roby and Rednour.

The indictment also alleges that those checks were then deposited into the bank acounts of Rednour and Roby.

The amount in question was approximately $133,400.

The maximum penalties that could be imposed are 30 years of imprisonment, a fine of $1.25 million and five years of supervised release.

The case originally started with the Bullitt County Sheriff's Office and included investigations by the U.S. Postal Inspection Service and the U.S. Secret Service.

The case is being prosecuted by assistant U.S. Attorneys Joshua Judd and Khalid Kahloon.

An indictment is not proof of guilt or innocense. Instead, it is an accusation that the grand jury felt needed to be pursued in the federal court system.