Former Town Supervisor Stole $25K In Hurricane Relief Funds

PRATTSVILLE, NY — A former supervisor in Greene County admitted he defrauded the state of grant funds earmarked for Hurricane Irene recovery for his town.

Kory O'Hara, 45, formerly the town supervisor of Prattsvillle, pleaded guilty Monday to wire fraud in connection with a grant extended to the town in the wake of the hurricane.

According to prosecutors, in August 2011, Hurricane Irene devastated Prattsville, resulting in the issuance of millions of dollars in rehabilitation grants to the town and its residents.

As town supervisor, O'Hara entered into various grant agreements, including with the New York State Housing Trust Fund Corporation.

During his guilty plea, he admitted that, between 2013 and 2015, he obtained false invoices from a Prattsville-based modular home business — Moore's Homes — that claimed to reflect construction work performed on O'Hara's automotive garage, which Moore's Homes did not perform.

O'Hara issued checks to Moore's Homes reflecting payment on the invoices, but Moore's Homes returned all the money.

He then submitted the false invoices and checks to the town of Prattsville and the state Housing Trust Fund Corporation to fraudulently obtain $24,915 in grant money under the New York Main Street Program.

United States Attorney Carla Freedman, whose office prosecuted the case, said the New York Main Street Program was designed to make sure that grant money would be used to rebuild Prattsville in the wake of Hurricane Irene.

"As Town Supervisor, O'Hara knew the rules, but chose not to follow them," she said. "Instead, he took grant money fraudulently."

Freedman said her office will continue to hold public officials accountable who, through fraud, put their own interests above those of their constituents.

O'Hara faces up to 20 years in prison, a term of post-imprisonment supervised release of up to three years and a maximum fine of $250,000. He will also be required to pay $24,915 in restitution to the state.

Stephen Baker, 71, of Prattsville, who was O'Hara's co-defendant, previously pleaded guilty to offering a false instrument for filing, a misdemeanor, in Prattsville Town Court. The federal charges against him were dismissed.