For Immediate Release
U.S. Attorney’s Office, Eastern District of Kentucky
LEXINGTON, KY- The founder and owner of Addiction Recovery Care, LLC (ARC), Timmy G. Robinson, Jr., 50, was indicted on Thursday for one count of wire fraud and two counts of money laundering.
Robinson steps down, ARC issues statement
ARC issued the following statement confirming that Robinson is stepping down on Thursday evening:
“Addiction Recovery Care is aware of the federal indictment involving Chief Executive Officer Tim Robinson.
Effective immediately, Tim Robinson is stepping down as CEO. Cassandra Webb will be stepping in as Interim Chief Executive Officer while remaining in her position as President & Chief Operating Officer of Addiction Recovery Care.
This is an active legal matter, and ARC will not be making any further statements regarding the case at this time.”
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The indictment alleges that in July 2025, Robinson caused ARC to enter into a sales agreement wherein the buyer made a $2.7 million advance payment in exchange for ARC’s rights to an anticipated tax refund from the IRS called an Employee Retention Credit (ERC). This ERC was calculated based on ARC’s payroll information for the first quarter of 2021. In September 2025, Robinson caused ARC to assign its rights to another ERC, based on the second quarter of 2021 payroll, to the same buyer.
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As a result, the second buyer paid ARC a $4.7 million advance payment for the ERCs on November 12, 2025. This conduct is alleged to constitute wire fraud. Robinson then engaged in significant monetary transactions with these proceeds, which are alleged to constitute money laundering. According to the indictment, when the IRS issued the ERC payments to ARC in December 2025, Robinson directed ARC not to repay either buyer.
Jason Parman, First Assistant United States Attorney for the Eastern District of Kentucky; Karen Wingerd, Special Agent in Charge, IRS-Criminal Investigations, Detroit Field Division; and Olivia Olson, Special Agent in Charge, FBI Louisville Field Office, jointly announced the indictment.
The investigation was conducted by the IRS-Criminal Investigations and the FBI. Assistant U.S. Attorney Paul McCaffrey is prosecuting the case on behalf of the United States.
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A date for Robinson appear in court has not yet been scheduled. Robinson faces up to 20 years in prison on the wire fraud charge and 10 years in prison on each of the money laundering charges.
Any indictment is an accusation only. A defendant is presumed innocent and is entitled to a fair trial where the government must prove guilt beyond a reasonable doubt.
