A former employee of the Washington State Office of Administrative Hearings (OAH) has been sentenced to 18 months in federal prison for embezzling nearly $900,000 from the state. Matthew Randall Ping, 48, of Olympia, pleaded guilty in June 2025 to wire fraud and making and subscribing a false tax return.
At his sentencing in U.S. District Court in Tacoma, Judge Tiffany M. Cartwright noted the role of addiction in Ping’s actions, stating, “Your crime was very serious but was driven by severe addiction…. Gambling addiction can destroy the life of someone who is otherwise an upstanding citizen.”
Acting U.S. Attorney Teal Luthy Miller commented on the impact of the case: “This theft was not just the largest insider embezzlement from Washington State in the last 15 years, it also undermines trust in our state financial safeguards,” said Acting U.S. Attorney Miller. “Mr. Ping not only cheated state taxpayers, he cheated on his federal taxes as well by failing to pay the income taxes he owed on ill-gotten gain.”
According to court records, Ping joined OAH in 2009 and became Management Analyst and credit card custodian by 2017. Between 2019 and 2023, he used his access to orchestrate a scheme that allowed him to steal at least $878,115 from OAH.
Ping set up accounts with payment processors using names that appeared legitimate but were actually controlled by him. From 2019 through 2021, he charged over $330,000 to OAH credit cards as payments to these phony vendors; all funds went directly into accounts he managed. In 2021, Ping continued his activities through another payment processor account and stole about $530,000 more from OAH. He also used state credit cards for personal purchases totaling $17,359 at retailers including Verizon and Walmart.
To avoid detection by internal controls meant to prevent such frauds, Ping manipulated transaction reviews and accounting data so that co-workers could not easily spot irregularities or unauthorized charges.
In total, authorities found that Ping executed 210 fraudulent transactions with fake vendors for a loss of $860,756 to the state agency; combined with improper credit card charges for personal items ($17,359), losses totaled $878,115.
Assistant United States Attorney Dane Westermeyer asked for a longer sentence due to how Ping spent most of the stolen money: “He used this stolen taxpayer money to fuel his gambling habit, fund at least six trips to Las Vegas, pay off a luxury vehicle loan, and otherwise support his lifestyle. And, perhaps not surprisingly, he failed to report any of the income from his theft on his federal tax returns which resulted in a tax loss of nearly $250,000,” Westermeyer wrote.
Ping addressed the court about efforts he made seeking help for gambling addiction but noted resources are limited for those struggling with such issues. After serving his sentence he will be under supervised release for three years; Judge Cartwright encouraged him to advocate for improved services related to gambling addiction.
The theft came to light after an investigation by the Washington State Auditor’s Office; Ping resigned from OAH when confronted about the missing funds in 2023. For tax years between 2020-2023 alone there was an estimated tax loss of $240,247 due to unreported income from thefts. As part of his plea agreement Ping agreed to pay restitution totaling $1,118,362 covering obligations owed both federally and locally.
The FBI and IRS Criminal Investigation Division worked alongside state auditors during their inquiry into Ping’s activities.
The prosecution was led by Assistant United States Attorney Dane A. Westermeyer.
