April 16 (UPI) — A civilian financial counselor with the U.S. Army’s Casualty Assistance Office pleaded guilty Tuesday in the U.S. District Court of New Jersey to defrauding Gold Star families of nearly $10 million.
Caz Craffy, 41, of Colts Neck, N.J., was a major in the U.S. Army Reserves, and obtained funds without the permission of respective Gold Star families to invest in accounts Craffy managed in his private capacity, ABC News reported.
Federal prosecutors say Craffy obtained more than $1.4 million in commissions while inflicting more than $3.7 million in losses on Gold Star family accounts from May 2018 to November 2022.
“Caz Craffy admitted today that he brazenly took advantage of his role as an Army financial counselor to prey upon families of our fallen service members at their most vulnerable moment, using lies and deception,” Philip Sellinger, U.S. Attorney for New Jersey, said in a news release.
Craffy pleaded guilty to six counts of wire fraud and one count each of securities fraud, making false statements to a federal agency, committing criminal acts affecting his personal financial interests and making false statements on a loan application.
U.S. District Judge Georgette Castner accepted Craffy’s guilty plea in a federal courtroom in Trenton and scheduled a sentencing hearing for Aug. 21. His plea agreement includes a prison sentence of between eight and 10 years, plus restitution.
“Caz Craffy now faces the prospect of years in prison for ripping off these families to line his own pocket,” Sellinger said.
A Gold Star family refers to the surviving members of U.S. service members who died in the line of duty during a time of war or hostilities. The reference comes from flags containing a gold star and presented to surviving family members during World War I and afterward.
“These Gold Star families have laid the dearest sacrifice on the altar of freedom,” Sellinger said. “They deserve our utmost respect and compassion as well as some small measure of financial security from a grateful nation.”
