Timothy Chad Henson, the owner of Clearfiber, Inc., has been sentenced to 18 months in federal prison for money laundering. The sentencing took place in Clarksburg, West Virginia.
Henson, a 35-year-old resident of Morgantown, West Virginia, was involved in fraudulent activities related to federal broadband funding. According to court documents and statements made during the proceedings, Henson applied for funding from the United States Department of Agriculture (USDA) with the intent to provide high-speed internet services in Monongalia and Marion Counties. The USDA’s Community Connect Program grants were aimed at supporting broadband services in rural areas. Clearfiber, Inc., owned by Henson, received an award of $1.96 million.
However, Henson submitted false invoices to the USDA to fraudulently obtain more than $340,000. He transferred $322,900 into another bank account for personal use.
As part of his sentence, Henson is required to pay restitution amounting to $1,401,849.06. After serving his prison term, he will be subject to three years of supervised release.
The case was prosecuted by Assistant U.S. Attorney Eleanor Hurney on behalf of the government and investigated by the Internal Revenue Service-Criminal Investigations. Chief U.S. District Judge Thomas S. Kleeh presided over the case.
