Sentencing is scheduled for Wednesday in federal court in Jefferson City for a Columbia businesswoman who pleaded guilty last year to federal wire fraud.
A new five-page court filing from U.S. Attorney Matthew Price says federal prosecutors are recommending that 66-year-old Kat Cunningham of Rocheport serve 18 months in prison and pay restitution. Federal prosecutors cite Cunningham’s age and lack of other criminal history.
Kat Cunningham was president of Columbia-based Moresource, which provided payroll to client companies. The new court documents say Cunningham embezzled more than $2.2 million and gambled away clients’ payroll deposits at Boonville’s Isle of Capri casino.
The court filing notes the Columbia Chamber of Commerce honored Cunningham as the Chamber’s 2016 outstanding citizen of the year.
Federal prosecutors say she regularly embezzled cash from her clients, whom she had known for years. With her 2025 guilty plea to wire fraud, federal prosecutors dismissed the other 36 counts from 2023’s federal indictment.