Kansas City-area attorney sentenced in fraud scheme

3 years 1 month 1 week ago Saturday, July 08 2017 Jul 8, 2017 Saturday, July 08, 2017 7:10:00 AM CDT July 08, 2017 in News
By: The Associated Press

KANSAS CITY, Mo. (AP) — A Kansas City-area attorney was sentenced to one year and one day in prison without parole for his role in a fraud scheme that stole more than $1.2 million from St. Luke's Health System.

Federal prosecutors say 57-year-old Mark Schultz, of Lake Lotawana, also was ordered Friday to pay $400,500 in restitution to St. Luke's.

Schultz's former law partner, Alan Gallas, of Kansas City, pleaded guilty earlier this year in a related case and was given the same sentence at Schultz. Gallas was ordered to pay $1.2 million in restitution.

The two men ran a law firm that specialized in collection work for corporations. St. Luke's was one of their clients.

The men transferred payments that were supposed to be made to St. Luke's to the firm's operating account.

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