Ex-owner of payroll firm gets prison for $6M theft


The former owner of a Dauphin County payroll company will spend up to 30 months in prison for stealing nearly $6 million from more than 200 clients.

William Sullivan, the former owner of Net Pay Solutions, pleaded guilty Tuesday to felony theft in Dauphin County Court. He was sentenced to 15 to 30 months in state prison, followed by 54 months of probation.

Sullivan, 45, formerly Harrisburg, also was ordered to pay about $4 million in restitution.

The attorney general’s office said between 2006 and 2011, Sullivan stole $5,737,948 from 266 clients who entrusted their payroll, taxes, and unemployment compensation to his company. 

Net Pay Solutions had clients across Pennsylvania, as well as Maryland and New Jersey, before filing for Chapter 7 bankruptcy in 2011. 

When the attorney general’s office launched an investigation of the company in 2013, agents learned Sullivan had made false entries in tax-tracking software and then made it appear the funds had been paid.

Sullivan also admitted that he co-mingled Net Pay Solutions funds with his personal accounts.

His state sentence will run concurrent to a federal sentence he received earlier this month.

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