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Former CEO of hospital becomes federal fugitive

Updated: Saturday, 08 Sep 2012, 8:17 AM EDT
Published : Friday, 07 Sep 2012, 10:38 PM EDT

Brittany Tyner

WEST LAFAYETTE, Ind. (WLFI) - The former CEO of White County Memorial Hospital accused of defrauding a different hospital of hundreds of thousands of dollars is a federal fugitive.

Back in March, Paul Cardwell was charged with defrauding a Wyoming hospital of nearly $848,000.

Federal authorities said Cardwell and West Lafayette resident Michael Plake set up a bogus physician recruitment company.

Both men have trials set for Sept. 18. But two of Cardwell's attorneys said they don't know where Cardwell is and that his phone has been disconnected.

According to court documents, on Aug. 28, a paralegal was sent to his mother's home in Tipton where Cardwell was supposed to be living. But his mom said she hadn't seen him since August 25.

A warrant was issued for Cardwell's arrest by federal probation officers August 29th.

Federal authorities said Cardwell unsuccessfully applied for a passport using the name "Paul D. Sappington."

Both Cardwell and Plake face 15 felony charges related to fraud.

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