2 Charged In $388,000 Scrap Metal Fraud Against DST Systems

KANSAS CITY, Mo. (AP) — Two former employees are charged with defrauding DST Systems in Kansas City out of nearly $400,000.

48-year-old Thomas Ray Jones, of Blue Springs, and 45-year-old Russell Fotovich, of Kansas City, are charged in federal court with fraud, money laundering and filing false income taxes.

Prosecutors say the two men were supposed to take scrap metal from a renovation project at a DST facility to a scrap dealer. They allegedly kept most of the proceeds and didn’t report the money on their income tax returns.

Federal prosecutors say the men turned in only about $175,000 of the $563,556 in proceeds due to DST. The men reportedly bought several cars and motorcycles with the embezzled funds.

Online records don’t show that either man has an attorney.

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