A woman from Luzerne County who handled finances for a local church will serve time in federal prison after admitting she secretly funneled church funds to pay for 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 out the sentence on December 3, 2025, in Scranton, according to federal prosecutors.
According to investigators, Nossavage worked as the church’s administrative assistant and was entrusted with critical financial tasks. Between April 2020 and December 2021, she oversaw monetary collections and deposits related to church funds. Authorities then discovered that the access enabled her to covertly redirect funds for her own personal use.
Luzerne woman’s gambling losses tied to stolen church funds
Prosecutors with the United States Attorney’s Office for the Middle District of Pennsylvania claimed the scam was based on repeated bank transactions that shifted church funds into Nossavage-controlled accounts. Investigators reported that the activity continued for over a year prior to their discovery.
FBI agents later examined bank records and discovered that Nossavage had made at least 115 transfers into her personal bank account with funds that were not genuine payments to her. Authorities stated the deposits used church funds rather than authorized salary or reimbursements.
Investigators also discovered that she utilized church credit cards without permission from church leaders. Prosecutors revealed that they internally classified some of the accusations using terms such as “bonuses,” “miscellaneous,” “vacation,” and “travel.” The labels helped to conceal spending that was not authorized by the church.
According to federal authorities, a large portion of the stolen funds was eventually used for online gambling activities. The investigation’s analysis of records revealed the regular transfer of church funds to accounts connected to gambling platforms.
As part of the sentencing, Nossavage was sentenced to refund $184,724.68 to compensate for the financial damages created by the scam. After serving her prison sentence, she must serve three years of supervised release.
The Federal Bureau of Inquiry carried out the inquiry that revealed the fraudulent activity. Luisa Honora Berti, an Assistant United States Attorney, prosecuted the case for the government.
Prosecutors stated that situations like this type frequently arise when a trusted person has regular access to financial systems and internal accounts. They claimed that without adequate control, fraudulent transactions may go on for a long time before anyone notices anything amiss.
Investigators claimed that Nossavage’s role as church treasurer enabled her to regularly move money without detection in this case.
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