Michael Tae Kim Ahlers, 49, of Lenexa, Kansas, has pleaded guilty to federal charges of bank fraud and filing a false tax return related to a scheme to embezzle money from the University of Kansas Medical Center (KUMC). Ahlers was the Administrative Officer for the Occupational Therapy (OT) Education Department at the KUMC in Kansas City. As the Administrative Officer, Ahlers was responsible for all administrative tasks and financial transactions for the OT Education Department, including budget management, purchasing, billing of external entities, and grant management. From at least 2009 and continuing to 2015, Ahlers used that position to steal more than $500,000 to pay for his personal expenses.
To conceal the fraud, instead of forwarding certain KUMC funds to the Institutional Finance and Administration Department, Ahlers deposited the funds into a KUMC Credit Union account. Using the KUMC Credit Union account allowed Ahlers to avoid oversight that would have happened in the normal course, by which funds are deposited into a state-controlled bank account, revenue recorded in the university financial system, and funds allocated to department accounts that are reconciled on a monthly basis. Ahlers also created invoices outside of the normal system, which prevented others within KUMC from learning about the KUMC Credit Union account and Ahlers’ use of it for his personal gain.
