Monica Dillon, a former federal prosecutor in southern West Virginia, pleaded guilty to multiple identity theft charges after admitting she used other people’s personal information to fund online gambling accounts.
According to the federal complaint, Dillon took names, Social Security numbers, and dates of birth from five victims between January 2021 and January 2023. She then used that information to open and manage online gambling accounts in their names and carried out financial transactions through those accounts. Prosecutors said the activity produced thousands of dollars in winnings.
Pretrial diversion replaces prison time
Under a pretrial diversion agreement approved by U.S. District Judge Kenneth E. Bell in the Western District of North Carolina, Dillon will not serve prison time. Instead, she must complete 24 months of supervision with the U.S. Probation Office and pay at least $30,000 in restitution to one victim.
If she successfully completes the diversion period, the charges will be dismissed.
A sharp fall from a white-collar crime career
The case is especially striking because Dillon previously spent years prosecuting white-collar offenses. During her career with the U.S. Attorney’s Office for the Southern District of West Virginia, she worked on matters involving health care fraud, civil rights violations, and environmental crimes.
From 2021 to 2024, she served as deputy chief of the district’s white-collar fraud unit, supervising a team of eight attorneys. Earlier in her career, she also worked for the Federal Bureau of Prisons and served as a federal judicial law clerk.
Law license already surrendered
West Virginia is among the U.S. states where online casinos and mobile sports betting are legal, though the complaint does not name the platforms involved. Dillon’s law license was annulled in January 2025 after she voluntarily consented during an investigation that began in December 2024.
The plea terms also state that she cannot withdraw her guilty plea even if the outcome is harsher than expected. Although the charges carried potential penalties of up to 20 years in prison and fines of up to $500,000, the diversion agreement keeps the case focused on probation and restitution rather than incarceration.
An uncommon gambling-related fraud case
Legal observers describe the matter as unusual because it involves a former law enforcement professional violating laws she once helped enforce. In recent years, gambling-related integrity cases in the United States have involved a broad range of participants, including athletes, lawmakers, casino-linked actors, and others, but cases involving former prosecutors remain rare.
Compared with larger identity-based gambling fraud operations, Dillon’s case is smaller in scale. Still, it stands out because of her former public role and because the resolution emphasizes oversight and victim repayment.
The U.S. Attorney’s Office for the Southern District of West Virginia has not provided additional public comment on the agreement.
