CORVALLIS, OR (KPTV) - A former Oregon attorney pleaded guilty Tuesday to tax evasion and money laundering charges, the Oregon District Attorney’s Office says.
Pamela S. Hediger, 55, was an attorney, president and managing shareholder of a law firm in Corvallis between 2010 and 2017, according to court documents.
The documents allege Hediger during her association with the firm embezzled funds from the firm’s client trust and business operating accounts.
The embezzled funds came from insurance proceeds payable to Hediger’s clients.
According to court documents, Hediger during 2011, 2012 and 2013 defrauded two investors in shopping center projects in Seaside and Astoria.
Hediger promised high rates of return and short terms in exchange for their investments, but instead used the money to support her “lavish lifestyle,” the attorney’s office says.
Hediger allegedly used the stolen funds to pay her mortgage, to fund construction and landscaping projects at her home and to repay people who had loaned her money to purchase her share of the law firm.
She also allegedly used the money to purchase lavish vacations, a timeshare, plastic surgery and, on at least one occasion, a Hawaiian band for a party.
According to the attorney’s office, Hediger falsified the law firm’s accounting records to conceal her schemes.
The attorney’s office says she failed to report income tax returns on nearly $2.2 million between 201 and 2017, evading more than $471,000 in tax dues.
Hediger faces a maximum sentence of 15 years in prison, a $500,000 fine and three years of supervised release. She is due in court for sentencing Jan. 10 next year.
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