Loudoun man admits stealing $8 million intended for children of parents killed by medical negligence

A Loudoun County man admitted in federal court Monday that he stole nearly $8 million from civil settlements that were supposed to be paid to children whose parents had died of medical malpractice.

Joseph E. Gargan, 59, of Round Hill, Va., was chief executive of the Pension Co., an Arlington firm that handles settlements between parties in civil suits, transferring money from defendants to plaintiffs and buying annuities for juveniles involved in such suits. The company said in a news release in 2014 that it was the fourth-largest structured settlement company in the United States.

Prosecutors said the federal government hired the Pension Co. to transfer funds in six cases where children suffered the loss of a parent due to medical negligence at a federally operated or insured hospital or clinic. In each case, the government was ordered to pay the plaintiff an amount of money and to purchase an annuity for a child.

Read the full story here: https://www.washingtonpost.com/crime-law/2020/06/15/loudoun-man-admits-stealing-8-million-intended-children-parents-killed-by-medical-negligence/

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