Joseph Phillip Downes, Theft of Government Funds, West Virginia 2023

A former CSX Transportation employee has admitted to stealing thousands of dollars in government funds, according to the U.S. Attorney’s Office for the Northern District of West Virginia.

Joseph Phillip Downes, 44, of Ranson, West Virginia, pleaded guilty today to one count of ‘Theft of Government Funds.’ The charge carries a maximum sentence of 10 years in prison and a fine of up to $250,000.

According to the government, Downes collected unemployment benefits from June 2019 to August 2020, but admitted that he was employed elsewhere during this time frame. Downes submitted 29 false claims to hide his employment, resulting in a theft of more than $18,000. He also received nearly $10,000 in CARES Act funds.

Downes, who was employed by CSX Transportation from July 2006 to April 2019, agreed to pay restitution in the amount of $27,902.08 to the U.S. Railroad Retirement Board.

Assistant U.S. Attorney Danae DeMasi-Lemon prosecuted the case on behalf of the government. The U.S. Railroad Retirement Board Office of Inspector General investigated.

U.S. Magistrate Judge Robert W. Trumble presided over the hearing.

Downes faces up to 10 years of incarceration and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.

Defendant: Joseph Phillip Downes

Criminal Charges: Theft of Government Funds

City and State: Martinsburg, West Virginia

Crime Date: Not specified

Sentence or Outcome: Pleaded guilty, faces up to 10 years in prison and a fine of up to $250,000

Dollar Amounts: $18,000+ in stolen government funds, $10,000 in CARES Act funds, $27,902.08 in restitution

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