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Ranking county treasury official charged with theft in financial public-corruption investigation

The second in command of the Harris County Treasurer’s Office is charged with felony theft for stealing tens of thousands of dollars from the county credit union as part of a scheme he claimed involved a financial dominatrix, prosecutors announced Friday.

Gregory Wayne Lueb, 56, who was fired this week from the county office that distributes nearly $3 billion annually, was arrested late Thursday for aggregate theft of up to $30,000.

The crime is punishable by up to two years in state jail.

Lueb was arrested late Thursday.

The case began when red flags were raised by the credit union and district attorney’s office staff regarding Lueb’s financial activities.

As a result of the criminal charge, Lueb’s financial expertise and control of massive amounts of taxpayer dollars, Ogg called on county commissioners to consider an independent financial audit of all the departmental financial accounts he handled.

“We are sounding the alarm,” Harris County District Attorney Kim Ogg said. “Lueb had extraordinary access to the taxpayer dollars of every agency, and this case strongly suggests the need for an independent audit of every account he touched.”

Ogg said that she would encourage any county officials who suspect suspicious activities within their agency’s accounts to contact the district attorney’s office.

“He is compromised,” Ogg said. “Right now we have more questions than answers.”

Lueb told authorities that he willingly obtained funds from the credit union which he then sent to the alleged financial dominatrix. He claims she repeatedly demanded he send her money online or face consequences.

Court papers filed by prosecutors contend Lueb told investigators that he had been texting with a woman he met on the website, collarspace.com. He claimed he knew her as “Mistress Cindy” and the two participated in a plot to steal money from the Harris County Federal Credit Union.

The credit union, which is self-insured, is the repository for county employees’ money.

According to court papers in August 2016, Lueb applied for a credit card at the credit union.

The next three months showed a pattern of cash advances, together with at least eight fraudulent deposits of money stolen from victims whose identities had been compromised.