Tax Collector Ripped Off PA Town

⏱ 2 min read

Karen McGinnis, 46, of Mountain Top, Pennsylvania, is going to federal prison for turning her role as Fairview Township’s tax collector into a personal piggy bank. Between March 2023 and January 2025, McGinnis siphoned off over $400,000 in property tax payments meant for the township, Luzerne County, and the Crestwood School District. She took a plea deal and was sentenced to 20 months on March 17, 2026, by Judge Karoline Mehalchick.

McGinnis didn’t bother with elaborate schemes. She simply wrote checks from the tax collector’s accounts directly to herself. The brazen theft went on for nearly two years before the money started to disappear. The IRS-Criminal Investigation division traced the complicated financial trail, revealing the extent of the damage.

While McGinnis coughed up around $40,000 before getting caught, she’s still on the hook for $367,088.35 in restitution. That money will go back to the schools and local government she robbed. Adding to the complexity of the case, both Luzerne County and the Crestwood School District had received federal grants exceeding $10,000 during the period of the theft.

Assistant U.S. Attorney Kyle A. Moreno prosecuted the case, securing the conviction and sentence. This wasn’t just a victimless crime, it’s a betrayal of public trust and a direct hit to the finances of a Pennsylvania town.