A civil complaint filed against Washington Court House City Council member Trent Dye alleges that he defrauded his former employer of almost $400,000 in a scheme that went on for three-and-a-half years.
Dye’s former employer, Paramount Freight Systems, LLC, in Jeffersonville, filed the civil complaint in the Fayette County Court of Common Pleas Nov. 30.
Paramount Freight Systems, LLC, is a truckload carrier specializing in long haul, expedited, dedicated and regional services. According to the complaint, at the time of his resignation Sept. 23, Dye was working as general manager for Paramount and had been an employee since 2008.
The complaint states that Dye’s general manager duties included recruiting and hiring employees. He allegedly set up a bank account for a fake recruiting company and then created, submitted and approved more than 280 fraudulent invoices to Paramount on behalf of the fake recruiting company.
The complaint states that Dye set-up the scheme “to steal funds from Paramount for referral fees for drivers that never existed, for his own personal gain.”
As a result, the complaint states, “Paramount paid almost $400,000 to a bank account that was ostensibly for the recruiting company, but which is actually held by Mr. Dye.”
Dye was sworn in as a Washington Court House City Council member Jan. 1 of this year for a four-year term.
Paramount is seeking reimbursement for lawsuit costs in addition to the almost $400,000. According to the complaint, Dye allegedly has not repaid any of the money to Paramount.
The Record-Herald reached out to the City of Washington Court House for comment.
“I can’t really comment on a council member’s private legal issues and I don’t really have any information about them,” said Washington C.H. City Manager Joe Denen. “The city has no connection to any of the companies that are mentioned.”
Dye could not be reached for comment Friday afternoon.
Reach Ashley at (740) 313-0355 or on Twitter @ashbunton