Columbia Woman Sentenced to 15 Months in Federal Prison for Wire Fraud

COLUMBIA, S.C. - Kathy Drawdy Stewart, 62, of Columbia, was sentenced to 15 months in federal prison after pleading guilty to multiple counts of wire fraud.

Evidence presented to the court showed that Stewart embezzled more than $270,000 from at least late 2016 through May 2023 from her longtime employer, LTC Associates, Inc., while she served as the company's business manager. During this time, Stewart regularly made unauthorized payments from the company's bank accounts to her personal American Express account. Stewart's crimes were ultimately uncovered after she attempted to make an unauthorized $20,000 transfer from the company's bank account to her American Express account in May 2023. A review of her American Express account revealed that Stewart spent over $100,000 on cosmetic procedures, travel, interior decorating, and retail over the course of her criminal conduct.

United States District Judge Joseph F. Anderson sentenced Stewart to 15 months imprisonment, to be followed by a two-year term of court-ordered supervision. There is no parole in the federal system. Judge Anderson also ordered restitution of over $270,000, which Stewart paid prior to her sentencing, and a fine of $10,000.

This case was investigated by the FBI Columbia Field Office. Assistant U.S. Attorneys Elle E. Klein and Elliott B. Daniels are prosecuting the case.

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