U.S. District Judge Henry E. Autrey sentenced Ronald Simpson, a former IT director of a St. Louis-area university, to 46 months in prison on Thursday. Simpson is also required to repay $3.9 million to his former employer and an IT equipment supplier he defrauded.
Simpson, from St. Peters, Missouri, was tasked with repairing and replacing defective IT equipment at the university's multiple locations. Starting around November 29, 2018, he sold hundreds of items to a third party after falsely claiming they were needed for the university.
Additionally, Simpson fraudulently acquired items from the university's IT supplier by alleging that previously supplied equipment was defective. He then sold both the original and replacement equipment.
Judge Autrey ordered Simpson to pay $3.19 million to the university and $780,233 to the IT supplier.
A university official expressed in a victim impact letter that Simpson’s actions “struck a serious blow to our financial stability,” causing funds to be redirected away from essential student programs and resources. The crime also harmed the institution’s reputation and affected employee morale.
The IT supplier noted that Simpson exploited their expedited replacement policy intended for critical infrastructure repairs before defective products are returned.
Special Agent in Charge Ashley Johnson of the FBI St. Louis Division stated, “In addition to bringing perpetrators to justice, the FBI has a dedicated process to try to make victims whole by seizing assets gained from a fraud or theft.” However, no substantial assets were seized as Simpson had spent millions frivolously.
Simpson pleaded guilty in June at U.S. District Court in St. Louis to one felony count of wire fraud. The FBI conducted the investigation with significant cooperation from both Simpson’s former employer and the IT supplier. Assistant U.S. Attorney Derek Wiseman prosecuted the case.