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Double-Dipping Fire Chief to Face Justice
A shocking case of public corruption has come to light in New York, as former Newburgh City Fire Chief Michael J. Vatter pleads guilty to wire fraud for fraudulently obtaining retirement benefits. Vatter, 57, of Walkill, New York, faces a maximum sentence of 20 years in prison for the crime.
According to the indictment, Vatter served in the Newburgh City Fire Department in various capacities from in or about 1980 until his retirement in May 2000. Following his retirement, he attended law school and practiced law. In November 2009, Vatter returned to the Newburgh Fire Department as its Chief, failing to report his return to the public sector New York State and Local Police and Fire Retirement System, despite knowing he had a duty under state law to do so.
As a result, Vatter received more than $95,000 in pension benefits that he was not entitled to receive. Under New York State law, a public sector retiree who is receiving a pension and who returns to public service cannot receive both pension payments and a public sector paycheck. The law permits public sector retirees to earn up to $30,000 per year from public sector employment before their pension benefits are cut off for that year.
Manhattan U.S. Attorney Preet Bharara said, “Michael Vatter, the former Newburgh City Fire Chief, cheated the public he swore to serve by double-dipping, receiving both a public pension and a paycheck at the same time. Today, he admitted to his fraud, and he will be held accountable for his corruption.”
The prosecution is being handled by the Office’s White Plains Division, with Assistant U.S. Attorney James McMahon in charge of the case. Bharara praised the investigative work of the Federal Bureau of Investigation, the Office of the New York State Comptroller, and the Orange County Sheriff’s Office.
Vatter’s guilty plea marks a significant victory for the people of New York, who demand accountability from their public officials. The case serves as a reminder that corruption will not be tolerated, and those who engage in such behavior will be held to justice.
The case is a result of a joint investigation between the Federal Bureau of Investigation, the Office of the New York State Comptroller, and the Orange County Sheriff’s Office.
Key Facts
- State: New York
- Category: Public Corruption|Fraud & Financial Crimes
- Source: DOJ Press Release â†â€â€
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