A United States Attorney for the Southern District of New York made an October 2022 announcement about a pending embezzlement case. Allegedly, an executive with a children’s charity illegally appropriated the organization’s money for personal expenses.
Embezzlement allegations
According to the criminal complaint, the former executive director of a not-for-profit New York City-based children’s charity had embezzled funds from 2018 to 2021. The complaint alleges the former executive misappropriated $98,000 in charity funds.
The report issued by the U.S. Attorney’s Office alleges the accused withdrew cash from the charity’s bank accounts and engaged in hundreds of unauthorized personal transactions. Authorities claim the accused paid numerous personal expenses with the funds procured from the charity’s accounts.
The accused faces three counts of federal crimes and is presumed innocent until proven guilty. The charges include wire fraud, access device fraud and aggravated identity theft.
Wire fraud and federal crimes
Those charged with white-collar crimes in New York federal courts could face significant jail time. Persons accused of stealing significant sums of money through wire fraud might claim the situation is a misunderstanding. For example, the funds at the center of an embezzlement scandal may reflect reimbursements for loans, and the accused might provide evidence that corroborates the claim.
Intent plays a vital role in fraud prosecutions. The defendant may face an acquittal if the prosecutor cannot prove intent. The defense could also point to a mistake of fact that contributed to the accused behavior. Proof of such mistakes could counter claims of deliberate intent.
Police misconduct may become a central point of the defense. If the police violated the defendant’s rights, the case might collapse.
Defendants concerned about a conviction at trial could explore plea agreements. A plea bargain might result in reduced sentencing.
