KANSAS CITY, Mo. — The owner of KARIE/Tima Childcare Center, previously indicted, is now facing 15 counts of money laundering after attempting to fraudulently receive as much as $556,000 in federal funds.
Sharif Karie, of Olathe, Kan., was originally indicted on Jan. 12, 2017 after a nationwide sweep that targeted childcare center fraud schemes. Karie is the owner of KARIE Day Care Center, LLC, and Tima Child Care Center, LLC at 1019 Admiral Blvd., Kansas City, Mo. The day care center was established under two businesses and two names for the same location. Also charged in the original indictment is Sheri Beamon, of Kansas City, Mo., who was also listed as a key employee for both businesses.
The new charges relate to transactions where Karie allegedly attempted to hide the source of proceeds of illegal activity. The indictment alleges the Karie and Beamon were involved in a conspiracy from October 2013 until June 2016 to submit false claims to the government. A federal grant program that provides childcare services to low-income families was billed for more hours and children than actually taken care of by the center. The national law enforcement operation in Missouri and six other states was the result of a federal investigation into childcare center fraud that resulted in a loss of more than $1 million to the government.
According to court documents, pole cameras were installed near the day care center and captured footage of the entrances and exits of the building during two-time periods in 2015 and 2016. Time sheets and billing records were compared to the children seen on the pole cameras being dropped off and picked up for the center. The investigation found significant discrepancies between the time sheets, claims submitted and the pole camera footage. The indictment also revealed, a state compliance review of the center’s billing for May 2017 and July 2014. The reveiw uncovered several attendance records missing. The review also found 14 out of 15 families with kids at the center who had a parent employed there. With only two classrooms the review concluded that it is improbable that parents were not caring for the own kids.
Karie and Beamon are charged together in one count of theft of public money, three counts of aiding and abetting each other to commit aggravated identity theft and three count of wire fraud. The indictment also has a forfeiture allegation, which would require Karie and Beamon to forfeit to the government any property obtained with the fraudulent funds.