SAN FRANCISCO—On March 21, the San Francisco District Attorney’s Office disclosed the arrest of Stanley Ellicott, 38, of Oakland, a former high-level city manager, on 62 felony charges involving the theft of more than $627,000 directly from the Department of Human Resources’ Division of Workers’ Compensation, the very department where he worked.
A criminal complaint filed by the San Francisco District Attorney’s Office alleges that, during a 4 ½ year period from May 2019 to January 2024, Ellicott stole $627,118.86 from the city of San Francisco. The complaint alleges one count of grand theft (PC 487(a)) and one count of misappropriation of public money (PC 424). The complaint also alleges 10 counts of insurance fraud (PC 550(a)(5)) as well as 50 counts of money laundering (PC 186.10). The complaint alleges an aggravated white collar crime enhancement (PC 186.11) and that one of the money laundering counts was committed while Ellicott was out on bail in another case (PC 120221(b)).
An affidavit filed with the Court in support of the arrest warrant explains during the crimes, Ellicott was the Assistant Director of Finance and Technology for the City’s Human Resources Department, Workers’ Compensation Division. One of his responsibilities was to oversee “the financial integrity of the Workers’ Compensation Division.”
The affidavit describes how Ellicott enlisted a friend to register a fake business in Illinois called “IAG Services” and open a bank account for the business, which she gave full control of to Ellicott. Ellicott then added this fake business as a vendor in the workers’ compensation system and over time billed more than 600 actual City workers’ compensation claims with charges for auditing services. Department archives show no evidence any auditing services were ever performed. Since San Francisco is self-insured for workers’ compensation purposes, payments to doctors, employees, and vendors related to workers’ compensation claims come directly from the City’s coffers.
The affidavit further explains that all of the city payments to “IAG Services” were deposited into the account set up by Ellicott’s friend, then the money was systematically transferred into Ellicott’s personal checking accounts in a pattern to appear like they were payroll payments. In total, he transferred more than $488,000 from IAG’s account into accounts belonging to him.
The affidavit describes a website for the Illinois business “IAG Services” created in Oakland, where Ellicott lives, and IAG emails sent to Ellicott’s work address that appear to be created by him. The affidavit explains that on several occasions, Ellicott emailed his subordinates and directed them to process payments to IAG that he approved, enlisting their unknowing and unwitting assistance in his fraud.
This is a second case against Ellicott who was charged in January 2024 in a separate case for his role in a scheme to misappropriate grant funds awarded through the City’s Community Challenge Grant Program. He faces charges in court number 24001435 for misappropriating City money, aiding and abetting his co-defendant, former employee of the Office of the City Administrator Lanita Henriquez, in having a conflict of interest in contracts she entered into on behalf of the City by kicking grant money back to her, and possessing stolen property by selling electronics purchased with City funds on eBay. Local businessman and former city employee Rudolph Dwayne Jones is also a co-defendant in that case.
Ellicott was arrested without incident in Oakland and was arraigned in Department 10 of the San Francisco Superior Court on March 22, 2024. If convicted of all counts, he faces a substantial term of incarceration in state prison.
The charges are a result of an on-going investigation by the San Francisco District Attorney’s Office Public Integrity Task Force. Anyone with details is asked to call the Public Integrity Task Force tip line at 628-652-4444.
