Tampa, Florida – United States Attorney Gregory W. Kehoe announces the unsealing of an indictment charging Brandon “Dutch” Mendenhall (47, Brandon, Florida) and Amy Marie Smith Vaughn (48, New Port Richey, Florida) with 10 counts of theft or embezzlement from employee benefit plans and five counts of theft or embezzlement in connection with health care. If convicted, Mendenhall and Vaughn each face a maximum penalty of 10 years in federal prison. The indictment also notifies Mendenhall and Vaughn that the United States intends to forfeit the proceeds traceable to the offenses.
According to the indictment, Mendenhall and Vaughn were the founders, registered agents, or officers of several entities, including RAD Diversified REIT, RADD Capital, The Seminar Solution, and DHI Holdings. The employees of these entities could participate in the companies’ 401(k) retirement plan and health insurance plan by having funds directly withheld from their paychecks. Beginning in the spring of 2024, Mendenhall and Vaughn stopped contributing the funds that were being withheld from their employees’ paychecks to the 401(k) plan. Then beginning in September of 2024, Mendenhall and Vaughn stopped contributing the funds being withheld from their employee’s paychecks to the company’s health insurance plan.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Department of Labor – Employee Benefits Security Administration, the Federal Bureau of Investigation, the Internal Revenue Service – Criminal Investigation, and the Florida Office of Financial Regulation – Bureau of Financial Investigations. It will be prosecuted by Assistant United States Attorney Merrilyn Hoenemeyer.