DATE: Tuesday, April 29, 1997 TAG: 9704290238 SECTION: BUSINESS PAGE: D2 EDITION: FINAL SOURCE: STAFF REPORT DATELINE: NEWPORT NEWS LENGTH: 24 lines
A former Newport News Shipbuilding employee was sentenced to three years in prison for bilking the company of $125,000 in worker's compensation benefits while running a business on the side.
Johnny Stinson, 50, was sentenced Friday by U.S. District Judge Rebecca Beach Smith after pleading guilty in January to two counts of mail fraud. He also must pay the yard $83,261.
Stinson was charged in October with fraud under the Longshore and Harbor Workers Compensation Act. He was injured on the job in 1988 and received $125,000 in disability payments between December 1988 and October 1996.
During that period, federal officials said, Stinson sent earnings statements to the shipyard that claimed he was jobless and had received no earnings. Acting on a tip the shipyard had received, U.S. Labor Department investigators discovered he had substantial income from 1992 to 1996 while operating a concrete and construction company. KEYWORDS: EMBEZZLEMENT ARREST MAIL FRAUD
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