Woman Guilty of $350,000 Fraud from Nashua-area Health Clubs

U.S. Attorney John P. Kacavas announced March 31 that a Hollis woman has pleaded guilty to a fraud scheme involving the theft of more than $350,000 from a consortium of health clubs located in Nashua, Manchester, Merrimack, Milford, Goffstown and Hudson.

Nikki Donovan, 25, was a payroll manager for the health clubs from January 2011 to July 2013 at the time of the scheme, according to Kacavas.

According to a press release from the U.S. Attorney's office: From her office in Nashua, "Donovan electronically reported information regarding the health clubs’ payrolls to a payroll a company located in Massachusetts. The payroll company relied on this information to calculate the health clubs employees’ salaries and to issue payroll checks to the employees, including Donovan. In the weekly payroll reports Donovan submitted to the payroll company, she falsely reported the number of hours she worked and her hourly wage. As a result, during the 30 month period that she was employed as the payroll manager, Donovan falsely inflated her salary by approximately $350,000." 

Donovan is facing up to 20 years in prison. She is scheduled to be sentenced July 17.