USPS Worker Stole $1.7 Million in Checks from Mail, Including Cancer Research Nonprofit: Report

Federal prosecutors have sentenced an Indiana postal worker to nearly four years in prison for stealing over $1.7 million in checks from the mail.

James Lancaster, 42, of Indianapolis, pleaded guilty to conspiracy to commit bank fraud and mail theft. He will serve 40 months in federal prison, the U.S. Attorney's office announced in a statement on Wednesday.

Working as the manager of customer service at the New Augusta Post Office in Indianapolis, Lancaster exploited his position to pilfer checks between 2020 and 2021.

Court documents reveal that Lancaster handed over these stolen checks to his co-conspirator, Jordan McPhearson of Blue Island, Illinois, occasionally in exchange for cash. McPhearson would then illicitly negotiate and deposit them.

McPhearson, having also pleaded guilty to conspiracy to commit bank fraud related to these incidents, was sentenced to 42 months in 2022. He also passed on stolen checks to another accomplice, Lavaris Yarbrough, whose sentencing is slated for September.

The thefts orchestrated by Lancaster compromised over 270 pieces of mail, encompassing $1.7 million in checks from over 50 distinct local entities, including a cancer research nonprofit. Hospitals, utilities, car dealerships, and other charitable organizations reported vanished checks mailed via that particular postal branch. Investigations linked all these stolen checks back to Lancaster.

Post their incarceration, both Lancaster and McPhearson will be under the federal probation office's surveillance for three years. Additionally, they are mandated to pay $88,376.12 in restitution.

“Mr. Lancaster was in a position of trust at a busy post office (but showed) nothing other than greed and disregard of the victims,” remarked Judge Tanya Walton Pratt, as cited by local station WTHR.

Lancaster, visibly emotional, responded to the judge, “My actions not only damaged my character but everyone involved. I want everyone to know I am truly sorry for everything that’s happened.”