County finds phishing scam behind sheriff’s missing pay

MT. PLEASANT — A phishing scam diverted more than $6,700 in payroll funds from Henry County Sheriff Rich McNamee’s direct deposit account late last year, prompting an internal investigation and an ongoing criminal inquiry by the Iowa Division of Criminal Investigation (DCI).

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The scam was discovered in late January, when McNamee attempted to withdraw funds and learned his account was short. On Jan. 30, he informed the Henry County Board of Supervisors that he had not received the majority of his paycheck for the previous three pay periods.

“Thirteen weeks ago, I was in here to talk about payroll,” McNamee told supervisors at a May 8 meeting. “My payroll had been skipped for six weeks. The day after that, the problem was taken care of, as far as my finances personally.”

According to a report released by Assistant County Attorney Steve Giebelhausen, a phishing email impersonating McNamee was sent to the Henry County Auditor’s Office around Dec. 10, 2024. A county employee, new to the job at the time, responded to the fraudulent request and changed McNamee’s direct deposit to a Green Dot Bank account controlled by the scammers.

Giebelhausen’s report states that similar attacks targeted other counties across Iowa. The sheriff did not notice the missing pay until he attempted a withdrawal in late January. He later explained he typically reconciles his accounts monthly and had not done so in December.

The county has since reimbursed McNamee and implemented additional security measures to prevent similar incidents. Giebelhausen said the internal investigation is complete and findings have been forwarded to the DCI and FBI.

“I did conclude the report into the payroll issue … this is just a high-level executive type summary,” he said during the May 8 meeting.

McNamee expressed frustration over communication delays and pressed for updates on the broader investigation in pursuit of justice.

“Have you heard anything from the DCI and FBI about the criminal aspect of it? Someone scammed the county out of $6,700,” he said.

Giebelhausen responded that DCI Agent Hai Tran confirmed the case remains open.

“They’re still investigating it to see who the outside actors are, because there’s several counties that got hit. Wasn’t just us,” he said.

Giebelhausen’s report urges employees to monitor their pay stubs for discrepancies and report issues immediately.

Comments: AnnaMarie.Kruse@southeastiowaunion.com