Upstate CEO convicted after defrauding company to build $2.5M beach house

IN TIME FOR NEWS TO GO. WE HAVE A LOOK AT TODAY’S TOP NEWS STORIES, TRAFFIC AND WEATHER ALL BEFORE YOU HEAD OUT THE DOOR. THAT’S RIGHT. WE START WITH CONCERNS FOR A NEW LUXURY HOTEL NEAR TRAVELERS REST. THAT’S WHERE ISABELLE MARAK IS JOINING US LIVE THIS MORNING. ISABELLE. HEY, AARON AND DESTINY. GOOD MORNING. HUNDREDS GATHERED AT THIS PUBLIC INFORMATION MEETING LAST NIGHT TO VOICE THEIR CONCERNS OVER THE PROPOSED PLAN FOR THE INN AT ALTAMONT. NOW, THOSE CONCERNS, THEY INCLUDE SAFETY FOR CYCLISTS AS WELL AS THE ENVIRONMENTAL IMPACT. LAST NIGHT, COMMUNITY MEMBERS SAY THEY WAITED IN LONG LINES TO SPEAK TO A SPOKESPERSON FROM THE DEVELOPMENT. BUT SOME FELT THEY COULDN’T GET ALL THEIR QUESTIONS ANSWERED. THE DEVELOPER SAYS HE’S CONTINUING TO MAKE CHANGES TO THE PROPOSED PLAN, INCLUDING REDUCING THE EVENT VENUE CAPACITY FROM 2000 TO 750. NOW MOVING FORWARD, THE PROPOSED HOTEL WOULD NEED ZONING CHANGES, WHICH WOULD COME FROM ANNEXING THE LAND TO TRAVELERS REST. THE DEVELOPER SAYS THAT HE PLANS TO SUBMIT A FORMAL APPLICATION COMING UP HERE SOON, BUT FOR NOW, REPORTING LIVE IN TRAVELERS REST ISABELLE MARAK WYFF NEWS FOUR ISABELLE. THANK YOU KNOW, NEW DETAILS. AFTER ONE PERSON WAS FOUND DEAD INSIDE A HOME AFTER A FIRE IN ELBERT COUNTY. AUTHORITIES SAY THAT INCIDENT HAPPENED YESTERDAY MORNING ON MARTIN GROVE ROAD. WE STILL DO NOT KNOW WHAT CAUSED THE FIRE AND THE CORONER’S OFFICE HAS NOT RELEASED THE NAME OF THE VICTIM. AN INVESTIGATION CONTINUES. MEANWHILE, ANOTHER SPARTANBURG COUNTY SCHOOL IS DEALING WITH THE CHICKEN POX. ACCORDING TO A LETTER SENT OUT BY SPARTANBURG DISTRICT FIVE, THE SCHOOL IS WELLFORD ACADEMY OF SCIENCE AND TECHNOLOGY. HEALTH OFFICIALS SAY THE NUMBER OF CASES THERE IS NOW CONSIDERED AN OUTBREAK. OUTBREAK MEANS AT LEAST FOUR. WE’RE TOLD CLASSES ARE STILL IN SESSION, THE LETTER TO PARENTS SAYS DURING AN OUTBREAK, UNVACCINATED AND NON-IMMUNE CHILDREN WILL BE EXCLUDED FROM SCHOOL TO PROTECT THEIR OWN HEALTH. MORE THAN FIVE MONTHS AFTER HURRICANE HELENE, A SECTION OF I-40 CONNECTING NORTH CAROLINA TO TENNESSEE WILL REOPEN TO DRIVERS TOMORROW. NCDOT SAYS THE INTERSTATE WILL BE SEPARATED BY A CONCRETE MEDIAN, HAVE A SPEED LIMIT OF 35MPH, AND HAVE AN EMERGENCY LANE. THE SINGLE LANE STARTS AFTER THE TUNNEL NEAR MILE MARKER FOUR AND END AT THE TENNESSEE WELCOME CENTER. OFFICIALS SAY PEOPLE SHOULD EXPECT THE BIGGEST DELAYS NEAR THE TENNESSEE STATE LINE. UKRAINIAN PRESIDENT VOLODYMYR ZELENSKYY IS EXPECTED TO SIGN A DEAL WITH PRESIDENT TRUMP DURING HIS VISIT TO WASHINGTON TODAY. ZELENSKYY SAYS HE’S HOPING TO GET CONCRETE SECURITY GUARANTEES FROM THE U.S. AS PART OF THE NEWLY PROPOSED DEAL GRANTING ACCESS TO UKRAINE’S RARE EARTH MINERALS. THIS PRELIMINARY AGREEMENT OVER RARE EARTH MINERALS ACTS AS A STEP TOWARDS ENDING THE THREE YEAR WAR IN UKRAINE, LEAVING THE LARGER QUESTION OF UKRAINE’S SECURITY AND US’S ROLE IN IT. HUNDREDS OF WORKERS AT THE NATIONAL WEATHER SERVICE LOST THEIR JOBS THIS WEEK. THE AGENCY’S FIRING MORE THAN 1000 WORKERS, WHICH IS ABOUT 10% OF ITS STAFF. ABOUT A THIRD OF THEM ARE INVOLVED IN FORECASTING, INCLUDING PEOPLE WHO ISSUE WARNINGS AND OTHER ALERTS ABOUT SEVERE WEATHER. NOAA IS ALSO THE MAIN SOURCE FOR TRACKING HURRICANES AND STORMS. AND THIS COMES AS TODAY COULD BE THE LAST DAY FOR SOME FEDERAL WORKERS WHO TOOK DEFERRED RESIGNATIONS. THE WHITE HOUSE PREVIOUSLY SAID ABOUT 77,000 WORKERS ACCEPTED THE OFFERS, AND THERE’S CONCERN THAT LOSING EMPLOYEES COULD IMPACT THE GOVERNMENT’S ABILITY TO DELIVER VITAL SERVICES. DODGE SAYS THE FIRINGS AND RESIGNATIONS ARE BOTH PART OF AN EFFORT TO BALANCE THE FEDERAL BUDGET. AN ACTIVIST GROUP IS CALLING FOR A NATIONWIDE BOYCOTT TODAY, AND WHAT THEY’RE DESCRIBING AS AN ECONOMIC BLACKOUT. THE PEOPLE’S UNION USA IS ASKING YOU NOT TO SPEND MONEY FOR 24 HOURS. IT’S MEANT TO PROTEST WITH THE GROUP’S FOUNDERS SEES AS THE HARMFUL INFLUENCE OF BILLIONAIRES, BIG CORPORATIONS AND BOTH MAJOR POLITICAL PARTIES. THE ORGANIZATION’S WEBSITE SAYS IT’S NOT TIED TO A POLITICAL PARTY. THE MOVEMENT’S CARVE OUT EXCEPTIONS FOR EMERGENCY SPENDING AND ENCOURAGING PEOPLE TO SHOP SMALL. MEANWHILE, NEW DETAILS IN THE DEATH OF LEGENDARY ACTOR GENE HACKMAN AND HIS WIFE. THEIR BODIES WERE FOUND WEDNESDAY AFTERNOON AFTER A GROUNDSKEEPER CALLED 911 AFTER ARRIVING AT THEIR SANTA FE, NEW MEXICO, HOME. AUTHORITIES ARE INVESTIGATING THE DEATHS AS SUSPICIOUS, BUT HAVE ALREADY RULED OUT A CARBON MONOXIDE LEAK AND SAY THERE WERE NO OBVIOUS SIGNS OF FOUL PLAY. THE WARRANT SAYS BOTH BODIES SHOWED SIGNS OF DECOMPOSITION. HEY, GOOD MORNING EVERYONE. HAPPY FRIDAY. 647 RIGHT NOW WE’RE IN THE 30S AND IN THE 40S, 35 DEGREES IN FRANKLIN, 37 IN SPARTANBURG. WE’VE GOT 45 RIGHT NOW IN GREENVILLE. WE’RE EIGHT DEGREES COOLER IN GREENVILLE THAN WE WERE YESTERDAY. AT THIS TIME, 11 AND 14 DEGREES COOLER IN SPARTANBURG AND IN UNION. HOW ABOUT REGION WIDE SUNSHINE THAT’S HAPPENING TODAY? NOT A BAD WAY TO GET FEBRUARY GONE, RIGHT? THE LAST DAY OF FEBRUARY. TODAY WE’RE GOING TO END IT ON A SUNNY, MILD NOTE ACROSS MUCH OF THE UPSTATE. IT’S GOING TO BE SUNNY, BUT A LITTLE BIT COOLER ACROSS WESTERN NORTH CAROLINA. A LITTLE BREEZY IN THE MOUNTAINS THIS MORNING, BUT THOSE WINDS WILL DIE DOWN. SO ALL OF THE WINDS TODAY SHOULD BE RELATIVELY CALM. TOMORROW. HOWEVER, A VERY DIFFERENT STORY. IT’S GOING TO BE WARMER, BUT IT’S ALSO GOING TO BE WINDY. BEFORE WE GET BACK TO FREEZING ON SUNDAY. A LOT MORE DETAILS ON YOUR WEEKEND AND MORE COMING UP IN JUST A LITTLE WHILE. FIRST, LET’S GET YOU OUTSIDE. GET A CHECK ON THOSE ROADS. DESTINY CHANCE PARELLA BACK TO THAT BREAKING TRAFFIC NEWS WHERE THERE’S A VEHICLE FIRE ON I-95 SOUTH. THIS IS AT BUSINESS 85 NEAR EXIT 69. AT LAST CHECK. ALL LANES ARE BLOCKED. SOME TRAFFIC IS MOVING IN THE LEFT LANE. THIS IS FOR FOLKS. IF YOU ARE NEAR ASHEVILLE HIGHWAY BUSINESS 85 OR I-26 AND SPARTANBURG COUNTY. AVOID THESE AREAS. GO AHEAD AND SEEK AN ALTERNATE ROUTE AND ALLOW SOME EXTRA TIME ONTO YOUR COMMUTE. LET’S TAKE A LOOK AT THOSE TRAVEL TIMES. I-240 TO ASHEVILLE HIGHWAY SHOULD TAKE YOU 11 MINUTES. AIRPORT ON WOODRUFF ROAD SIX MINUTES. FAIRVIEW ROAD TO DOWNTOWN A 13 MINUTE DRIVE, A PLANETARY PARADE IS SET TO APPEAR IN THE SKY TONIGHT. SEVEN OF THE EIGHT PLANETS IN OUR SOLAR SYSTEM WILL BE VISIBLE, ALTHOUGH YOU WILL NEED BINOCULARS OR A TELESCOPE TO SEE NEPTUNE AND URANUS. SIX HAVE BEEN LINED UP ALL WEEK LONG, BUT MERCURY JOINS THEM TONIGHT. THE BEST TIME TO SEE THOSE PLANETS IS RIGHT AFTER DUSK. SET. NOW, I WANT TO MAKE SURE YOU GUYS AREN’T CRUSHED BY THIS CARPET. WEIGHS OVER 6,000 POUNDS. HERE WE GO. WELL, CONAN O’BRIEN IS READY TO HOST SUNDAY NIGHT’S ACADEMY AWARDS CEREMONY. THE COMEDIAN AND FORMER LATE NIGHT HOST WAS ON HAND TO HELP ROLL OUT THE ICONIC RED CARPET AT THE DOLBY THEATER IN HOLLYWOOD. THE RED CARPET IS A STAPLE OF THE OSCARS, WHERE CELEBRITIES SHOW OFF THEIR DESIGNER FASHIONS FOR THE BIG NIGHT. O’BRIEN SAYS HE HOPES TO LIFT PEOPLE UP AFTER THE RECENT LOS ANGELES WILDFIRES. THE CLEMSON CAROLINA RIVALRY TAKES TO THE BASEBALL DIAMOND THIS WEEKEND. THE TIGERS ARE SEVEN AND ONE, WHILE THE GAMECOCKS ARE UNDEFEATED AT NINE ZERO. GAME ONE OF THE PALMETTO SERIES IS TONIGHT AT SEVEN AT DOUG KINGSMORE STADIUM TOMORROW. FIRST PITCH IS AT 130 AT FLUOR FIELD AND GREENVILLE. GAME THREE IS SUNDAY AT FIVE IN COLUMBIA. THIS WEEKEND THE TEMPERATURES ARE FEELING QUITE LIKE SPRING TIME. OUR STEPHANIE TROTTER HAS THE PERFECT OUTDOOR OPPORTUNITY IN THIS WEEK’S NEW FOR YOU. GRAB YOUR CLUBS. WE’RE HEADING TO ANDERSON FOR MINI GOLF. THE CLUB AT BROOKSTONE MINI GOLF OPENED THIS WEEK WITH ACTION FOR ALL AGES ON A BRAND NEW 18 HOLE COURSE. THE FACILITY IS DESIGNED FOR FAMILY OUTINGS, FUN DATES AND A PLACE TO HANG WITH FRIENDS. THERE’S A DISCOUNT FOR KIDS AND THOSE UNDER FIVE PLAY FOR FREE. SPEAKING OF KIDS, IF YOU HAVE YOUNG CHILDREN OR ARE LOOKING FOR A GIFT, DOGWOOD DARLINGS COULD BE THE SPOT FOR YOU. THE HIGH END BABY AND CHILDREN’S BOUTIQUE IS OPENED. ITS SECOND STORE, THIS ONE IN DOWNTOWN GREENVILLE AFTER HALLOWEEN, SEVERELY DAMAGED ITS ORIGINAL LOCATION IN HISTORIC BILTMORE VILLAGE. ALL NEW SPRING LINES ARE NOW ON DISPLAY ACROSS DOZENS OF BRANDS, FROM BELLA BLISS TO ZUCCHINI KIDS AND THE UPSTATE’S VIBRANT FOOD SCENE IS STIRRING THE POT WITH A NEW INDIAN RESTAURANT OPENING UP JUST OFF WOODRUFF ROAD, AMARAVATHI IS SERVING UP FRESH CRAFTED, AUTHENTIC INDIAN CUISINE. SATURDAYS AND SUNDAYS, YOU CAN DIVE INTO A FULL BUFFET FOR LUNCH DURING THE WEEK. THE MENU INCLUDES A NUMBER OF SPECIALTIES, FROM SAVORY STARTERS TO DELECTABLE DESSERTS, FROM CURRY TO CLOTHING. WE’

Greenville CEO convicted after defrauding company to build multi-million dollar beach house

Updated: 5:33 PM EST Feb 28, 2025

A Greenville CEO was sentenced to prison for committing wire fraud after defrauding his company to build a multi-million dollar beach house. Evidence presented in court established that Joseph Edward Gallagher served as the president and CEO of AFL Telecommunications, which is owned by Fujikura, Inc. Despite receiving yearly compensation in excess of $2 million, Gallagher devised a scheme to have AFL pay for the construction of a personal beach house.More News: Detectives arrest trio for school resource center, bus break-insAccording to the United States Department of Justice, Gallagher created false business documents indicating EPIC Development Group, LLC, was serving as a consultant for AFL Telecommunications in the field of government contracts and optical infrastructure. In truth, EPIC was a builder and was constructing Gallagher’s beach house on Kiawah Island.When EPIC submitted invoices for construction costs, Gallagher would alter them to indicate that the recipient of the services was AFL and that the services involved consulting rather than construction. Gallagher would further submit the altered invoices to AFL for payment. Gallagher succeeded, through fraud and deceit, in obtaining approximately $2.5 million from AFL for the construction of the beach house. EPIC had no knowledge that Gallagher was defrauding his employer. More News: WWE announces return to Greenville for Monday Night Raw”Gallagher’s actions represent a serious breach of trust. He abused his position of authority, diverting millions from his company to fund a personal luxury,” said Acting U.S. Attorney Brook B. Andrews for the District of South Carolina. “This sentence underscores that such brazen acts of fraud, regardless of an individual’s status, will be met with serious consequences.”U.S. District Judge Jacquelyn Austin sentenced Gallagher to 41 months in prison. She also ordered Gallagher to pay a $34,000 fine. She will decide the issue of restitution at a later hearing. More News: Rare planet parade is tonight: Here’s the best time to see it in our areaThis case was investigated by the FBI Columbia Field Office. Assistant U.S. Attorney Bill Watkins prosecuted the case.

GREENVILLE, S.C. —

A Greenville CEO was sentenced to prison for committing wire fraud after defrauding his company to build a multi-million dollar beach house.

Evidence presented in court established that Joseph Edward Gallagher served as the president and CEO of AFL Telecommunications, which is owned by Fujikura, Inc. Despite receiving yearly compensation in excess of $2 million, Gallagher devised a scheme to have AFL pay for the construction of a personal beach house.

More News: Detectives arrest trio for school resource center, bus break-ins

According to the United States Department of Justice, Gallagher created false business documents indicating EPIC Development Group, LLC, was serving as a consultant for AFL Telecommunications in the field of government contracts and optical infrastructure. In truth, EPIC was a builder and was constructing Gallagher’s beach house on Kiawah Island.

When EPIC submitted invoices for construction costs, Gallagher would alter them to indicate that the recipient of the services was AFL and that the services involved consulting rather than construction.

Gallagher would further submit the altered invoices to AFL for payment. Gallagher succeeded, through fraud and deceit, in obtaining approximately $2.5 million from AFL for the construction of the beach house. EPIC had no knowledge that Gallagher was defrauding his employer.

More News: WWE announces return to Greenville for Monday Night Raw

“Gallagher’s actions represent a serious breach of trust. He abused his position of authority, diverting millions from his company to fund a personal luxury,” said Acting U.S. Attorney Brook B. Andrews for the District of South Carolina. “This sentence underscores that such brazen acts of fraud, regardless of an individual’s status, will be met with serious consequences.”

U.S. District Judge Jacquelyn Austin sentenced Gallagher to 41 months in prison. She also ordered Gallagher to pay a $34,000 fine. She will decide the issue of restitution at a later hearing.

More News: Rare planet parade is tonight: Here’s the best time to see it in our area

This case was investigated by the FBI Columbia Field Office. Assistant U.S. Attorney Bill Watkins prosecuted the case.