Crime & Courts

Former finance director of Native nonprofit sentenced to 4 months for thefts

The former finance director of a tribal advocacy nonprofit avoided significant jail time at his federal sentencing in Anchorage on charges of stealing $22,000 from the organization.

Thomas Purcell's federal public defender and the government urged the court to reduce the penalties generally imposed on defendants facing similar charges of theft, fraud and misapplication of federal funds.

U.S. District Court Judge Sharon Gleason sentenced Purcell on Friday to 120 days in a halfway house and five years of probation. She ordered Purcell to pay back the $22,000 he stole and imposed an additional $15,000 fine.

"Mr. Purcell's assistance will be factored in but not to the extent advocated by the government," Gleason said.

Purcell will be able to serve the four months at the Cordova Center in Anchorage, a halfway house, or an equivalent facility approved by the Federal Probation Office. He's also permitted to serve the time in intervals through "weekend jail," the judge said.

Purcell admitted to stealing $22,720 in Alaska Inter-Tribal Council funds, according to a plea agreement and the original indictment. The indictment also accused him of funneling nearly $70,000 to his boss, Steven Osborne, to pay off a council-issued credit card without ensuring the money was spent in accordance with council policy and procedures.

Osborne, the former executive director of AITC, was sentenced Thursday to 21 months in prison for stealing about $145,000 from the organization between December 2007 and February 2009, prosecutors said.

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The officials' thefts came during a time AITC was receiving grants from the U.S. Environmental Protection Agency topping $1 million, U.S. Attorney Joseph Bottini said.

During the Friday sentencing, Bottini described Purcell as open and cooperative.

"Even before the matter was presented to grand jury, Purcell was cooperative and candid, even admitting to the collection of money he wasn't entitled to," Bottini said in court, adding Purcell would have been a key witness if Osborne opted for a jury trial. Both men pleaded guilty in April. The government has said in court documents that Purcell's misappropriation of federal funds was relatively small compared to Osborne's.

The prosecutor also described Purcell as "not a very assertive man." Osborne was a domineering figure who was known to wear a gun on his hip around the tribal council's office, he said.

Federal Public Defender Rich Curtner said responsibility for the theft at the organization could be placed on others and not just his client and Osborne. AITC employees are demanding retribution, he argued, because Purcell made for an easy target sitting behind the defense table.

Still, Purcell took responsibility, Curtner said.

"He's going to pay back the money today," Curtner told the judge.

Purcell apologized to his former coworkers, as well as his friends and family.

"I should have done more to stop (Osborne)," Purcell said, at times facing AITC employees sitting in the courtroom pews. "There was no collusion. I was just scared."

Gleason said she'd considered the government's argument about Purcell's cooperation, but she noted that his help started after the FBI came looking for him. He didn't act to stop Osborne, Gleason said.

"You need to be able to say 'no.' That's a basic idea in our society -- the ability to refuse to engage in criminal activity," she said.

Jerzy Shedlock

Jerzy Shedlock is a former reporter for Alaska Dispatch News. He left the ADN in 2017.

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