Home BusinessSuplizio pleads guilty to money laundering and federal program theft in corruption case • Spotlight PA

Suplizio pleads guilty to money laundering and federal program theft in corruption case • Spotlight PA

by OmarAli
Suplizio pleads guilty to money laundering and federal program theft in corruption case • Spotlight PA

JOHNSTOWN — After years of denying sweeping allegations of public corruption, former DuBois city manager Herm Suplizio pleaded guilty Thursday to money laundering and theft from federal programs, ending a polarizing case that tested the reputation and future of the small town he once helped govern.

Suplizio, 66, accused of stealing more than $1.5 million in public dollars, faces 27 months in prison after pleading guilty to the two crimes before U.S. District Court Judge Stephanie L. Haines. He must also pay up to $250,000 in fines and $500,000 in restitution to the city of DuBois.

In court, Suplizio said little except to answer the judge’s standard questions about taking responsibility. Both he and his lawyers declined to comment after the hearing ended.

The corruption investigation into Suplizio’s actions dates back to 2020, when law enforcement officials in Pennsylvania received an anonymous letter signed “Concerned Citizens” that alleged Suplizio had engaged in financial misconduct.

Suplizio, the letter said, funneled funds from a nonprofit organization he oversaw to DuBois, where as city manager he controlled nearly all government operations and had broad power over the city’s accounts. The authors raised questions about the legality of these money transfers.

The letter sparked an investigation by prosecutors from the state attorney general’s office, who arrested Suplizio in spring 2023 on charges that he stole more than $600,000 from public accounts over which he had signing authority.

Later that year, federal prosecutors took over the case and added a new twist: They also charged Suplizio’s former administrative secretary, Roberta Shaffer, in the case. The new charges immediately sparked speculation in the community about whether Shaffer, 61, would turn against her former boss and agree to provide incriminating information.

Like prosecutors, federal authorities alleged that Suplizio diverted money that belonged to the city to secret bank accounts that only he and Shaffer controlled — and over which the city had no control. The city council did not approve the bills, the federal indictment says. The money they allegedly diverted included about $60,000 in annual fees that DuBois was supposed to receive under its waste management contract with a private company.

According to the indictment, these reports were in connection with DuBois’ annual summer festival, Community Days, which celebrates the city’s long-standing volunteer fire department.

Spotlight PA previously reported that Suplizio, a former and ultimately unsuccessful candidate for state Senate, was instrumental in the Community Days fundraising efforts. In addition to serving as the city’s top administrator, he was also the longtime executive director of the DuBois Area United Way.

In the series “The Richest Little Town,” the newsroom noted that he took advantage of these positions, often holding decision-making positions on both ends of deals despite potential conflicts of interest. It also uncovered high-profile allegations about cash lockers hidden in the ceiling and about the city’s former attorney showing up at City Hall with a gift bag full of cash worth more than $93,000.

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In total, federal authorities alleged that Suplizio stole more than $1.5 million in public dollars – money he used to make payments on his personal credit card, for various personal expenses and for large cash withdrawals. Authorities said Shaffer wrote and signed many of the checks that paid the credit card bills and led to the cash withdrawals.

The secret accounts also paid for donations to local politicians, a fundraising dinner for a local judge and a city employee’s wedding reception. In addition, several cashier’s checks obtained through withdrawals from the secret accounts, as well as numerous large cash deposits, were later deposited into Suplizio’s personal bank accounts, authorities alleged.

Suplizio and Shaffer spent months preparing to fight the case, with a trial date set for October. But in late May, Shaffer pleaded guilty to two counts of theft from federal programs and money laundering. She faces a maximum penalty of up to 20 years in prison, a fine of up to $500,000, or both. The sentencing hearing is scheduled for September 22nd.

Outside the courtroom, the corruption case against Suplizio raised troubling questions about how such a large theft could go unnoticed in such a small town. It also nearly derailed the city’s consolidation into a municipal government with nearby Sandy Township.

Consolidation efforts eventually resumed and in January of this year the two merged to form the new “City of DuBois.”

This is breaking news. Check back for updates.

https://www.spotlightpa.org/statecollege/2026/07/herm-suplizio-dubois-pennsylvania-theft-local-government/

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