BIRMINGHAM, Alabama -- The U.S. Attorneys Office announced this afternoon that a former computer printer service technician at Children's of Alabama hospital has agreed to plead guilty to defrauding the hospital of $426,986 by charging it for printer cartridges he sold to another company.
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John David Nichols, 36, of Hueytown, was charged with one count of wire fraud earlier this month. Nichols agrees to plead guilty to the charge in an agreement prosecutors filed today in U.S. District Court, according to a joint press release from U.S. Attorney Joyce White Vance and FBI Acting Special Agent in Charge Robert E. Haley III.
Nichols plea agreement
"White collar crime doesn't pay in the Northern District of Alabama," Vance stated in the press release. "Defrauding a hospital that ministers to children is particularly callous. This defendant deserves to be punished."
The press release, citing Nichols' plea agreement, states that he worked on site at Children's of Alabama as a service technician for Tech-Optics Inc. from October 2009 through October 2011. Tech-Optics had a contract with the hospital that included providing preventive maintenance, repair and toner cartridges for printers. Nichols acknowledges that from August 2010 to October 2011, he used Tech-Optics' computer inventory system to order toner cartridges for Children's. The hospital paid for the cartridges, but Nichols sold them to an Alabama company, Image Craft, which bought new and used toner cartridges.
Nichols continued the scheme after Children's ended its contract with Tech-Optics in October 2011 and contracted for the printer services from Ameri-Tek, the press release states. Nichols went to work for Ameri-Tek and continued, into March 2012, to order cartridges on behalf of Children's, which he then sold.
Between August 2010 and March 2012, Nichols sold about 6,316 items to Image Craft, the press release states. Of those items, about 4,900 were printer cartridges Nichols charged to Children's, and the remaining items included laptop computers, printers, printer parts and fax machines he had stolen from the hospital. Nichols received $234,525 from Image Craft for the equipment, the press release states.
The FBI investigated the case, which is being prosecuted by Assistant U.S. Attorney Henry Cornelius.
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