SANTA CLARA COUNTY, CA — A South Bay CEO accused of using funds intended foster care recipients for personal use pleaded guilty to fraud charges Tuesday, the Department of Justice said in a news release.
Annie Corbett, a 55-year-old woman who used to live in Redwood City, pleaded guilty to one count wire fraud, the DOJ said. She faces a maximum prison sentence of 20 years and a fine of $250,000.
She also pleaded guilty to willful failure to pay over employment taxes in violation, which carries a maximum prison sentence of five years and a $250,000 fine, the DOJ said.
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Corbett remains out of custody pending her sentencing hearing, which is scheduled for Jan. 31.
She was initially charged Oct. 30, 2020, with wire fraud in connection with her operation of Corbett Group Homes, a company that provided foster care for children and adolescents in group homes located primarily in San Jose.
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Corbett was the owner, CEO and President of CGH from 2011 through mid-2018, when CGH employed about 60 employees a year.
Corbett admitted in her plea agreement that she knowingly failed to pay employment taxes, and that she deceived her bookkeeper and CPA into believing the employment taxes had been paid despite not paying any taxes to the IRS, the DOJ said.
She described issuing several checks from a CGH account to the U.S. Treasury and gave…
