A former Bergen County, New Jersey tour company manager was sentenced to 27 months in federal prison for embezzling hundreds of thousands of dollars from her employer and filing a false tax return.
According to U.S. Attorney Philip R. Sellinger, the 76-year-old Berger County woman pleaded guilty to one count of wire fraud and one count of subscribing to a false tax return.
Between October 2010 and August 2016, the former tour company manager and another unidentified employee, who held an accounting position at the organization, devised a scheme to embezzle funds from the company. The former manager would direct the unidentified employee to write company checks to actual company employees and contractors, which did not reflect any actual work or services rendered by those individuals. The unidentified employee would then cash these checks and the two would convert the resulting funds for their personal use.
U.S. District Judge Julient Xavier Neals also sentenced the 76-year-old to two years of supervised release and ordered her to pay $295,297 in restitution in addition to her prison term.
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Prevent This From Happening To YOU!
Employee fraud is more common than you think. Being proactive and doing your due diligence are among the best defenses against internal fraud. Below are a few tips to help reduce your risks of internal fraud:
- Train Employees To Prevent Fraud. Every employee within an organization must know about your fraud risk policy including the warning signs of fraud, types of fraud, prevention skills, and the consequence related to it.
- Maintain Internal Controls. To detect and prevent fraud, every organization needs to create and maintain internal controls.
- Segregate Accounting Duties. Segregation of accounting duties is one of the important components to deal with internal fraud.
- Audit the Books Regularly. Regardless of company size, audit regularly.
- Get Expert Help. If your business needs more extensive review and audit, consider a professional account or internal audit service.
Click here to learn more about the above Fraud Prevention Tips.
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Sincerely,
Michael Beranek
Berkley Crime
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| National Practice Leader Michael Beranek (646) 522-7362 [email protected] | East Regional Manager/Commercial Crime Product Leader Matt McNamara (212) 497-3707 [email protected] |
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