LUFKIN - Jasper natives, Walter Diggles, 65, his wife, Rosie Diggles, 63, and their daughter, Houston native, Anita Diggles 41, were found guilty of 28 counts that include wire fraud and theft from programs receiving federal funds.
After information from the case was presented in court, it was revealed that the defendants schemed to acquire and personally use federal block grant funds that Congress appropriated after Hurricanes Rita, Katrina, Ike and Dolly.
Those funds were made available to the State of Texas, which then made contracts with various government councils within the state to help administer and distribute the money.
Walter Diggles was the Executive Director of the Deep East Texas Council of Governments during that time and took advantage of his position to improve inflated requests for federal block grant reimbursement.
All the while, Rosie and Anita Diggles prepared many of those requests.
On top of those requests, Walter Diggles participated in fraudulent activities and approved fraudulent requests for block grant funds and spent the excess on personal expenses.
The Diggles family was indicted by a federal grand jury in December 2015.
A prison sentence of up to 30 years is facing each member of the Diggles family.
However, a sentence will not be given until a sentencing hearing is held upon completion of a presentence investigation by the U.S. Probation Office.
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