The former head of the Alaska Inter-Tribal Council, Steven Osborne, was sentenced in Federal Court on Thursday, for theft of over $145,000 from that organization, the Department of Justice revealed on Thursday.

Osborne, the former Executive Director of the non-profit tribal advocacy group from 2007 until his resignation in 2009, admitted in court to stealing funds in excess of $145,000 from the organization during at time that that organization was receiving substantial funds from the U.S. Government, including a grant from the Environmental Protection Agency during the years of 2008 and 2009. 

After Osborne abruptly resigned, AITC’s Treasurer, Olga Malutin of Kodiak alerted the organization into misuse of funds in February, 2009, her actions led to calls to the troopers and the FBI.

Osborne, and the former Finance Director, Thomas Purcell of Anchorage, pled guilty to Felony Theft from an Organization Receiving Federal Funds charges earlier this year after years of investigation into their wrong-doings.

Osborne and Purcell were indicted in 2013 after the federal investigation determined that the two had used several different methods to steal money from AITC, that included cash withdrawals, credit and debit card transactions, the submission of false time cards and unauthorized salary increases.

Because of the illegal activities of the two executives in the organization, AITC was determined to be a “high risk” and barred from receiving federal funds. Without federal funds, the organization became defunct and currently remains so. AITC, for years was a powerful voice in the native community and spoke loudly on many issues including fishing and land rights, and energy. The theft has far reaching effect, hurting all 229 federally recognized tribes in the state.

Osborne was sentenced by United States District Judge Sharon Gleason on Thursday to 21 months in federal prison and was also directed to pay $145,000 in restitution as well as to forfeit the same amount of money.

Purcell has yet to be sentenced.

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  alaska inter-tribal council, department of justice, doj, epa, funds, prison, sentencing, steven osborne, theft, thomas purcell