Former Kansas City lawyer pleads guilty in fraud scheme

KANSAS CITY, Mo. (AP) — A former Kansas City attorney has pleaded guilty to stealing more than $1.2 million from St. Luke’s Health System.

Federal prosecutors say Alan B. Gallas entered the plea Tuesday to mail fraud. He was a partner in the Kansas City law firm of Gallas & Shultz before he surrendered his law license in Missouri and Kansas last year and was disbarred.

Gallas’ firm was a collection agency for patients with outstanding bills to St. Luke’s. Money collected for the health system was placed in a trust account. Gallas admitted that he had employees at the firm transfer money from the trust account to an operating account rather than remitting payments to St. Luke’s.

Gallas must repay $1.2 million in restitution to St. Luke’s. His sentencing date has not been set.

 

Copyright 2016 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

 

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