Former Anniston Army Depot Employee Pleads Guilty

BIRMINGHAM, AL - United States Attorney Alice H. Martin of the Northern District of Alabama announced that Freida Spearman Holmes has plead guilty to Computer Fraud and Theft of Government Property charges in Huntsville.

Holmes, 61, of Oxford, Alabama plead guilty to a two-count indictment including stealing $33,000 in government funds and exceeding her authorized computer access to a government computer while employed by the Anniston Army Ordnance Depot as a Customer Service Representative for Payroll.

During the hearing, Assistant U.S. Attorney Mike Whisonant said that Holmes, while employed by the Anniston Army Ordnance Depot as a Customer Service Representative for Payroll, accessed the Defense Civilian Pay System using her ID and password.  According to the indictment, Holmes altered the pay files for her son over a period of almost a year causing him to be paid more than $31,000 for time in which he did not actually work.  She also altered the pay files of her daughter to give her 200 hours of sick leave that she was not entitled to receive.  This alteration caused her daughter to receive approximately $2,000 in benefits.

Judge Smith set sentencing in the case for August 19, 2008.  The maximum sentence for theft of government property as charged in Count 1 is ten (10) years in prison and a fine of $250,000.  The maximum sentence for unauthorized computer access with intent to defraud as charged in Count 2 is five (5) years in prison and a fine of $ 250,000.

"Mrs. Holmes abused her position with the Anniston Army Ordnance Depot to commit this cyber crime, and we will ask the Judge to consider that in his sentence," stated U.S. Attorney Alice H. Martin.