The architect of a scheme to defraud Minnesotans out of nearly $2 million was sentenced to five years in federal prison Wednesday.
Pamela Dellis, a former auditor for the Minnesota Department of Revenue, said a gambling addiction caused her to concoct a scheme that involved creating more than 200 phony state tax refunds. Dellis enlisted her sister and niece to help with the fraud that lasted nearly five years.
All three had pleaded guilty earlier. Dellis, 58, of Lindstrom, admitted to conspiracy to commit mail fraud and money laundering. Nancy Sondrall, 55, of Brooklyn Center, and Laurie Sondrall, 29, of Minneapolis, each pleaded guilty to conspiracy to commit mail fraud.
U.S. District Judge Joan Ericksen last month sentenced Laurie Sondrall to more than two years behind bars. Nancy Sondrall is awaiting sentencing.
Despite pleas for a lesser sentence from Dellis' attorney, Ericksen said she was mindful of the need for the public to have confidence that public officials who steal will be held accountable.
"This is a serious and shocking violation of the public trust," Ericksen said.
Dellis' job as an auditor was, in part, to process legitimate tax overpayments. She had been with the Minnesota Department of Revenue since September 1981.
State Revenue Commissioner Myron Frans testified at the sentencing. He said Dellis' crime demoralized revenue employees and eroded the public's trust in the department.
