Luzerne church worker sentenced to prison after stealing funds for gambling
A woman from Luzerne County who handled finances for a local church will spend time in federal prison after admitting she secretly funneled church money to fund her gambling habit.
Gail Nossavage, 62, of Harding, Pennsylvania, received a 15 month prison sentence after pleading guilty to one count of wire fraud in federal court. U.S. District Judge Karoline Mehalchick handed down the sentence December 3, 2025, in Scranton, according to federal prosecutors.
Investigators say Nossavage worked as an administrative assistant for the church and was trusted with handling key financial tasks. Between April 2020 and December 2021, she managed monetary collections and was responsible for overseeing deposits tied to church funds. Authorities later determined that the access allowed her to quietly redirect money for her own personal use.
Luzerne woman’s gambling losses tied to stolen church funds
Prosecutors with the U.S. Attorney’s Office for the Middle District of Pennsylvania said the fraud relied on repeated financial transactions that moved church money into accounts controlled by Nossavage. According to investigators, the activity continued for more than a year before it was discovered.
FBI investigators later reviewed bank records and found that Nossavage had made at least 115 deposits into her personal bank account using funds that were not legitimate payments to her. The deposits, authorities said, involved money belonging to the church rather than authorized wages or reimbursements.
Investigators also determined that she used church credit cards without approval from church leadership. Prosecutors said some of the charges were internally labeled with descriptions such as “bonuses,” “miscellaneous,” “vacation,” and “travel.” The labels helped disguise spending that was not authorized by the church.
Federal authorities said a significant share of the stolen money ultimately went toward online gambling activity. Records reviewed during the investigation showed the church funds were repeatedly routed into accounts connected to gambling platforms.
As part of the sentence, the court ordered Nossavage to repay $184,724.68 to cover the financial losses caused by the scheme. In addition to the prison term, she must serve three years of supervised release after completing her sentence.
The Federal Bureau of Investigation conducted the investigation that uncovered the fraudulent activity. Assistant U.S. Attorney Luisa Honora Berti prosecuted the case for the federal government.
Prosecutors said cases like this often occur when a trusted employee has regular access to financial systems and internal accounts. Without strong oversight, they said, fraudulent transactions can continue for long periods before anyone notices irregularities.
In this case, authorities said Nossavage’s role overseeing church finances allowed her to repeatedly move money without immediate detection.
Featured image: Gail Nossavage via Facebook
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