ROANOKE, VA – A long-running scheme to siphon company funds came crashing down yesterday as Gregory Thomas Holland, 63, of Roanoke, admitted to wire fraud and filing false tax returns. The former American Electric Power (AEP) employee confessed to stealing an estimated $1.6 million from the utility giant over a 16-year period.
Holland, a 36-year AEP veteran who worked in the credit department since 1982, was responsible for handling customer bankruptcies and managing related claims. But instead of protecting AEP’s interests, authorities say he exploited his position to enrich himself. In 2001, Holland quietly opened a personal checking account using AEP’s name and address, keeping it secret from his employer.
Beginning in May 2002, Holland began diverting checks payable to AEP into this illicit account. Over 300 checks, intended for AEP, were deposited over the years. The stolen funds weren’t used for emergencies or necessities, but for a lavish lifestyle, including membership dues at the Roanoke Country Club, car payments, and clothing purchases, according to court documents.
For over a decade and a half, Holland successfully concealed his theft, but failed to report any of the illegally obtained income on his tax returns between 2011 and 2017. The scheme finally unraveled, leading to a joint investigation by the U.S. Secret Service, the Internal Revenue Service-Criminal Investigations, and the Virginia State Police.
Acting United States Attorney Daniel P. Bubar announced the guilty plea, stating the court will determine the precise amount of loss at Holland’s sentencing. Holland faces a maximum penalty of 20 years in federal prison after pleading guilty to one count of wire fraud and one count of willfully filing a false tax return. Sentencing is scheduled for September 10, 2021, and will be determined by a federal district court judge considering U.S. Sentencing Guidelines and other statutory factors.
Assistant U.S. Attorney Michael Baudinet is prosecuting the case. This isn’t just a case of financial crime; it’s a betrayal of trust, a decades-long abuse of position that cost AEP $1.6 million and now threatens to cost Holland his freedom. The Grimy Times will continue to follow this case as it moves toward sentencing and beyond.
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Key Facts
- Agency: U.S. Secret Service
- Category: Fraud & Financial Crimes
- Source: Official Press Release
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