BIRMINGHAM, AL – Reggious Sanchester Bell, 30, of Madison, Alabama, is facing serious time after pleading guilty today to a brazen scheme to steal over $1 million from a Huntsville nonprofit dedicated to helping people with disabilities find work. The former accountant also admitted to two counts of federal income tax evasion, stiffing the IRS for tens of thousands in unpaid taxes.
U.S. Attorney Joyce White Vance announced the guilty plea, alongside Veronica Hyman-Pillot, Special Agent in Charge of IRS Criminal Investigation, and Roger C. Stanton, Special Agent in Charge of the FBI. Bell entered his plea before U.S. District Judge Karon O. Bowdre, acknowledging his theft from the Huntsville Rehabilitation Foundation, which operates as Phoenix, and his deliberate attempt to dodge his tax obligations.
“This defendant acknowledges he stole from American taxpayers and that he stole more than $1 million from an organization dedicated to helping people with disabilities find jobs,” Vance stated bluntly. “Those actions are deplorable as well as criminal.” Phoenix, a vital resource for individuals with disabilities, receives over $20 million annually through contracts performing custodial work at Redstone Arsenal. Bell exploited that funding for personal gain.
According to court documents, Bell began his fraudulent activity as early as 2009 while working in Phoenix’s accounting department, handling accounts payable, receivable, and fixed assets. He abused a company credit card intended for business expenses, racking up $95,228 at Best Buy, $21,969 at Louis Vuitton, and tens of thousands more at airlines and hotels – including $46,345 at Marriott Hotels and $20,706 at Dillard’s. He even created a fictitious identity to obtain another credit card for unauthorized purchases.
Bell wasn’t just spending; he was covering his tracks. He routinely deleted fraudulent charges from monthly statements and manipulated Phoenix’s account ledgers to conceal the discrepancies. The scheme extended to creating a fake accounting firm, Bell-Pete Associates, and invoicing Phoenix a total of $293,873 in 2011 and 2012 for services never rendered. This fraudulent income was never reported to the IRS, resulting in underpaid taxes of $15,132 in 2011 and $66,636 in 2012. Bell now faces restitution of approximately $1.3 million to the Huntsville Rehabilitation Foundation and $81,768 to the IRS.
Bell is scheduled to be sentenced on February 21st. He could face up to 10 years in prison and a $250,000 fine for the federal program theft charge, and up to five years and a $100,000 fine for each count of tax evasion. The case was investigated by the IRS and FBI and is being prosecuted by Assistant U.S. Attorney Russell E. Penfield. The Grimy Times will continue to follow this case as it moves toward sentencing.
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Key Facts
- State: Alabama
- Agency: DOJ USAO
- Category: White Collar Crime
- Source: Official Source ↗
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