Karen McGinnis, the former tax collector for Fairview Township in Pennsylvania, has pleaded guilty to embezzling over $400,000 in property taxes. The announcement was made by the United States Attorney’s Office for the Middle District of Pennsylvania.
McGinnis, 46, served as tax collector from March 2023 to January 2025. She was responsible for collecting property taxes on behalf of Fairview Township, Luzerne County, and the Crestwood School District. During this period, she diverted more than $400,000 for her personal use.
Luzerne County and Crestwood School District received federal funding exceeding $10,000 during this time through grants and other programs. McGinnis resigned from her position in March 2025. As part of her plea agreement, she will not seek public office for at least three years or any term of probation imposed by the court and has agreed to make full restitution.
Yury Kruty, Special Agent in Charge at IRS-Criminal Investigation Philadelphia Field Office stated: “The role of IRS-Criminal Investigation becomes even more important in embezzlement and fraud cases due to the complex financial transactions that can take time to unravel.”
The Internal Revenue Service’s Criminal Investigation Division conducted the investigation. Assistant U.S. Attorney Kyle A. Moreno is prosecuting the case.
If convicted under federal law, McGinnis faces a maximum sentence of ten years in prison, supervised release after imprisonment, and a fine. Sentencing will be determined by a judge based on federal statutes and sentencing guidelines.
