Columbia businesswoman pleads guilty to fraud

COLUMBIA, Mo. (KMIZ)

A Columbia businesswoman accused of fraud and embezzlement pleaded guilty on Thursday to two counts.

Kathryn L. Cunningham pleaded guilty in federal court to wire fraud and not paying payroll taxes. She was originally charged with 38 counts, which included bank fraud, stealing from an organization that receives federal funds and wire fraud.  

Cunningham is the former owner and CEO of payroll company Moresource, which had about 140 clients when it closed in 2020, according to previous reporting.

Cunningham was accused of embezzling from the payroll account that was held in trust for the company's clients. Cunningham stole about $1.5 million for her personal benefit and to run her company, previous reporting indicates.