Darlene Baker, Wire Fraud and False Statement, Washington 2023

Tacoma, Washington - A disbarred attorney, sentenced last year to 18 months in prison for stealing money from a deceased client's estate and defrauding a friend, is now charged by information with wire fraud and making false statements in connection with a scheme to illegally claim COVID pandemic benefits, announced Acting U.S. Attorney Tessa M. Gorman. Darlene Baker, 58 of Port Orchard, Washington, was sentenced in March 2022 to 18 months in prison for her scheme to steal a $500,000 bequest to a children's hospital, and then defrauding a friend out of $500,000 to repay the estate. Piper has officially changed her name to Baker. She is scheduled for a plea hearing on the information on Friday August 25, 2023.

Following the sentencing hearing for the original wire fraud case, prosecutors were alerted that Baker had lied to the government about her income and work status. The investigation revealed that she had also lied to government agencies to obtain pandemic relief loans to which she was not entitled. The charging information alleges that between March of 2020 and August of 2021, Baker sought to obtain $265,000 in Paycheck Protection Program (PPP) Funds and Economic Injury Disaster Loans (EIDL), and successfully obtained over $80,000. In connection with the applications for the programs, Baker allegedly falsely claimed that she had lost all income due to the pandemic and stated that she would use the aid to meet payroll expenses for her business. In fact, throughout that period, Baker worked providing accounting and related services for a Gig Harbor, Washington, investment firm earning as much as $145,000. Baker also had no employees and no payroll obligations.

The False Statement charge alleges that Baker lied on financial disclosure statements required by the court in her earlier criminal case. In those statements, Baker claimed to be out of work, when in fact she had substantial income working for the investment firm. Despite that income, Baker failed to repay the victim in the wire fraud case and claimed to have virtually no resources to pay restitution.

Darlene Baker was released from federal custody on March 16, 2023, but remains on supervised release.

Wire fraud in connection with a presidentially declared major disaster or emergency is punishable by up to 30 years in prison and a $1 million fine. Making a false statement is punishable by up to five years in prison.

The charges contained in the information are only allegations. A person is presumed innocent unless and until he or she is proven guilty beyond a reasonable doubt in a court of law.

Source: https://www.justice.gov/usao-wdwa/pr/former-attorney-convicted-defrauding-clients-now-charged-defrauding-taxpayers-falsely