Former state worker allegedly stole more than $200K

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A former Hilo supervisor for the state Department of Human Services faces charges she allegedly embezzled more than $200,000 in public assistance, or welfare benefits, from the office.

A former Hilo supervisor for the state Department of Human Services faces charges she allegedly embezzled more than $200,000 in public assistance, or welfare benefits, from the office.

A Hilo grand jury indicted 53-year-old Jeanette Ryder on three counts each of first-degree theft and use of a computer in the commission of a separate felony.

The indictment, dated March 23, states the alleged crimes took place during three time periods: between April and May 2007; between December 2010 and May 2011; and between Jan. 1 and March 31, 2013. The filing alleges “in a continuing course of conduct,” Ryder “did obtain, or exert control over, the property of the State of Hawaii by deception with intent to deprive the State of Hawaii of the property …”

Ryder, a former Mountain View resident now living on Oahu, was previously indicted Sept. 10, 2014, on the 2013 theft charges. At the time, investigators allegedly found about $45,000 in stolen state funds.

“We found more (thefts) and we also charged her with the computer crimes,” Deputy Attorney General Mike Kagami said Thursday. He said the previous charges are included in the new indictment.

Kagami told the Tribune-Herald in September 2014 that Ryder “created three fictitious accounts, put (the state’s) money into the accounts and drew it out” in 2013.

Kagami said Ryder used electronic benefit transfer cards and went to numerous automated teller machines to withdraw the funds. He said Ryder was identified from surveillance photos taken while making the ATM withdrawals.

According to Kagami, the new charges stem from continued records investigation.

“We think there may be even more (thefts) but a lot of those bank records no longer exist,” he said Thursday.

First-degree theft is a Class B felony with each count punishable by up to 10 years imprisonment, while use of a computer in the commission of a separate felony is, in this case, a Class A felony with each count punishable by up to 20 years in prison.

Ryder, who has no prior criminal convictions, pleaded not guilty to the original theft charge and a panel of three mental health professionals found her fit to stand trial. She’s scheduled to appear for trial before Hilo Circuit Judge Greg Nakamura at 9 a.m. May 16. Because of the new charges, it’s unlikely trial will occur at that time.

A bench warrant issued with the new indictment calls for Ryder to be granted supervised release after she’s arrested on the new charges. She’s free on $10,000 bail on the original theft charge.

Ryder’s attorneys, Brian De Lima and Justin Haspe, didn’t return a phone call by press time Friday.

Email John Burnett at jburnett@hawaiitribune-herald.com.