Hollidaysburg Fire Chief Accused Of Stealing Grant Money

The chief of the Phoenix Volunteer Fire Department in Hollidaysburg is facing federal charges alleging he stole more than $57,000 in federally funded grant money from the Federal Emergency Management Agency (FEMA).

According to the indictment filed last week in U.S. District Court in Johnstown, Anthony J. Dibona of Hollidaysburg, is charged with one felony count of embezzlement for converting federal funds for personal use along with four felony counts of filing a false tax return.

The indictment filed by Assistant U.S. Attorney Arnold P. Bernard Jr., alleges that between Feb. 21, 2014 to Jan. 10, 2017, Dibona knowingly embezzled $57,242 in FEMA grant money that was intended for the support and recruitment of volunteer firefighters.

Along with the felony charge of embezzlement, the indictment also alleges that Dibona filed false tax claims for the years 2013, 2014, 2015 and 2017.

Dibona allegedly failed to report $15,659 in taxable income in 2013. In 2014, the indictment alleges, Dibona reported taxable income of $1,948 with a tax due of $1,807 when he had a taxable income of $62,348 with $11,086 due in taxes.

The indictment also alleges that in 2015, Dibona reported a taxable income of $5,428 with a tax due of $2,367 when he really had a taxable income of $35,270 and should have paid $6,518 in income tax. It is also alleged that in 2017, Dibona reported a taxable income of $13,765 and a tax due of $5,391 when he had a taxable income of $30,765 with a tax due of $7,941.

Dibona’s indictment comes six months after another member of Phoenix Volunteer Fire Department, Benjamin Rhine, pled guilty in federal court in Johnstown of embezzling $1.5 million in FEMA funds by diverting money to bogus marketing firms before funneling the money to himself. Rhine used the money to buy real estate, rental properties, personal vehicles, and equipment for his landscaping business. Rhine also pled guilty to not paying taxes on his income for the years 2014, 2015 and 2016.

Rhine was the coordinator of the $5.1 million grant and Dibona allegedly assisted him, according to court filings.

Rhine was scheduled to be sentenced Feb. 1 but sentencing was continued until April 1. He could face up to 10 years in prison on the embezzlement charge and three years on each charge of tax evasion.

Dibona is due back in federal court on March 26 for a plea hearing in front of U.S District Court Judge Kim R. Gibson.