Feds: Travel agent stole 3.7 million frequent flier miles
SEATTLE (AP) - A former agent at a Washington travel company was charged Friday with stealing nearly 3.7 million airline miles from high-end clients, then using them to buy plane tickets for herself and her family.
Karen Yeakel was fired from her job at Stellar Travel in Bellevue in June 2011, after discrepancies in the frequent-flier account of one of her top clients turned out to be just the tip of the iceberg, said company partner Susan Bluhm.
According to a wire fraud charge unsealed Friday in federal court, Yeakel used the airline miles to buy 135 flights for herself and her family, worth more than $109,000 - but that's not all. She's also accused of using the credit cards of some clients to buy $180,000 worth of plane tickets, then providing those tickets to other customers at steep discounts.
"Yeakel frequently denied her clients access to their airline miles or misled clients into believing that the airlines had restricted the use of airline miles when, in fact, no airline miles were available as defendant Yeakel had misappropriated them for her own benefit," prosecutors wrote.
Yeakel's lawyer did not immediately return an email seeking comment. The charge was filed in a federal court document called an "information," which typically means a plea deal is in the works.
Yeakel's clients were not named in the court papers, but were described as "high net worth individuals." Bluhm declined to identify them.
"A handful of her top clients were affected, and those clients are still our clients," Bluhm said. "They realized that this was the action of a rogue employee. This was almost two years ago, and we dealt with it."
The company said in a statement that it was sorry for those cheated in the scheme.
"Upon discovering these personal activities Karen executed on her own, we fully cooperated with law enforcement officials to ensure justice is served," the statement said.
Yeakel began working at Stellar in 2003. The scheme to provide airline tickets purchased by some clients to other clients began by early 2005, the charging papers said, and the scheme to convert frequent flier miles to her own use began in 2008.
Karen Yeakel was fired from her job at Stellar Travel in Bellevue in June 2011, after discrepancies in the frequent-flier account of one of her top clients turned out to be just the tip of the iceberg, said company partner Susan Bluhm.
According to a wire fraud charge unsealed Friday in federal court, Yeakel used the airline miles to buy 135 flights for herself and her family, worth more than $109,000 - but that's not all. She's also accused of using the credit cards of some clients to buy $180,000 worth of plane tickets, then providing those tickets to other customers at steep discounts.
"Yeakel frequently denied her clients access to their airline miles or misled clients into believing that the airlines had restricted the use of airline miles when, in fact, no airline miles were available as defendant Yeakel had misappropriated them for her own benefit," prosecutors wrote.
Yeakel's lawyer did not immediately return an email seeking comment. The charge was filed in a federal court document called an "information," which typically means a plea deal is in the works.
Yeakel's clients were not named in the court papers, but were described as "high net worth individuals." Bluhm declined to identify them.
"A handful of her top clients were affected, and those clients are still our clients," Bluhm said. "They realized that this was the action of a rogue employee. This was almost two years ago, and we dealt with it."
The company said in a statement that it was sorry for those cheated in the scheme.
"Upon discovering these personal activities Karen executed on her own, we fully cooperated with law enforcement officials to ensure justice is served," the statement said.
Yeakel began working at Stellar in 2003. The scheme to provide airline tickets purchased by some clients to other clients began by early 2005, the charging papers said, and the scheme to convert frequent flier miles to her own use began in 2008.
Off with her head. Be gone with her.
Another plea deal in the works. Prosecute her!
Another good reason to check over those statements from the bank.
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As for the thieves within the organizations you trust, this is just a tip of the iceberg.  For the things you can do by yourselves, do them by yourselves. Don't hire any middle man or company.Â
This case will never make it to trial. Those well heeled clients will not want their travel exposed and would be agreeable to a plea deal. They are not charging her with lying to government so this will be a suspended sentence, restitution, fine and an order not to work in the travel business. This gal is over 65 and throwing her in the prison probably won't happen.  Her Facebook says she has moved to Montana https://www.facebook.com/karen.yeakel
Excuse me if I don't feel too particularly bad for the lost miles of the high wealth individuals.Â
 @KH If it can happen to them, it can happen to you. Injustice is injustice regardless of who the victim is.
@KH So because they are wealthy it was ok for her to steal from them? Thats like saying it would be ok for someone who doesn't make as much money as you to steal from you. I feel bad for them, they trusted a professional to do a job and they got screwed, I don't care if they make $25,000 a year or $25,000,000 a year.
 @MomOf2 I agree.  I'll never be in this "income bracket" - but it's not OK to steal - from anyone!  You make a good point - if this is "OK", then anyone who makes less than you is "OK" to steal from you.  Â
Wow! I'm shoked! Travel agents are still around!?
That will get you 5-10years for only 2 round trip tickets they way flyer milage programs work.
On top of her prison time, she should be permanently placed on the "no-fly" list so she will never be allowed to fly after she gets out. If her husband was aware of any of this, he should be punished as well.
 @The WA Mama slow down and remember this is still America. This very reason is why all folks who now call America their home should take some civics classes. No Fly lists are for really really bad people who may want to hurt others or their name sounds like an arab
@Harrison @The WA Mama what???!
 @The WA Mama Why? In what way does she pose a terror threat?Â
Her husband will be punished if he is found to have aided or abetted her.Â
 @The WA Mama The sad part is you have to say, 'should be'...:-(
What a BEEOTCH ! I hope she has to sell everything she has to pay it all back. Â
Since she is in WA, she will probably get 30+ years for this.  If she raped or killed someone, she would be out in 1 or 2 years.  (Yes, I know the Feds are handling the case, just making a point)
What a scumbag. People like this deserve to rot in a cellar but if they are already talking a plea deal this loser will be free as a bird in no time.
and she thought nobody would notice? Her clients don't notice if they purchase a ticket but don't travel? Wow.
Welp hope she enjoyed her vacations, prison is going to be rough