MOUNT CARMEL -- The former owner of a bus company in Northumberland County pleaded guilty to a federal charge of wire fraud.
The U.S. Attorney's Office says Robert Else III overbilled federal and state agencies, along with taxpayers, and wired the money to a personal bank account.
Else used to own King Coal Tours, which is a popular bus company in Northumberland County. That company also provided services for a public transportation system that operates in central Pennsylvania. It's those services that Else is accused of abusing.
Else did not have much to say to reporters as he was wheeled out of the federal courthouse on West Third Street in Williamsport.
"What do you want to say to the people of Mount Carmel?"
"No comment today," Else said.
The man from Elysburg pleaded guilty to wire fraud. Federal prosecutors say he carried out a plan to defraud PennDOT, the U.S. Department of Transportation, and the borough of Mount Carmel by overbilling them and wiring the money to his bank account.
"Shock. I'm surprised," James Dougherty said.
Else owned a popular charter bus company in the Coal Region--King Coal Tours. The company provided services for a public transportation system and the federal charges relate to that aspect of the business.
"King Coal was a big part of the environment around here and now to find this out is very upsetting to a lot of people," Diane Lentini said.
The people around here tell Newswatch 16 the Elses are a very prominent family in Mount Carmel and that's what makes the guilty plea that much more surprising.
"I think it's terrible that we have such an outstanding family in the community that was doing this for decades," Lentini said.
As part of his plea deal, Else must pay between $400,000 and $500,000 in restitution. FBI agents say Robert Else has an advanced stage of cancer, which is why he was in a wheelchair. He will stay out of prison until he is sentenced.
"Maybe he's the one who is taking the blame for everyone else. I don't know. Using the sickness as leniency on the court," Dougherty said.
Robert Else III faces up to 20 years in federal prison and a $200,000 fine. The judge did not say when he will be sentenced.