Nobody starts their career with the goal of embezzling their company. However, sometimes, life’s circumstances lead them down that path.
Many times, they use company funds with the intent to make full reimbursement. Unfortunately, they are often caught before that happens.
What is embezzlement?
Embezzlement is the misappropriation or theft of funds by a person in a trust position. It’s not just limited to the corporate world. It can happen in churches, volunteer fire departments, city halls or PTAs, with embezzled funds ranging from tens of thousands to millions of dollars.
The reasons for embezzlement are just as varied, such as:
- Financial desperation from debt or unexpected expenses
- Addictions to gambling, drugs or alcohol
- Revenge against the employer for a past offense
- Greed for luxury items
- Rationalizing that the money is just being “borrowed” and will be paid back later
- Opportunity to access unmonitored funds
- Psychological conditions that predispose a person to take risks
However, there are several key elements the prosecution must prove to obtain a conviction, including:
- The defendant had a fiduciary duty toward the party the other party
- The defendant took the money on purpose, not by mistake
An embezzlement conviction can have serious consequences. Legally, the convicted individual may have to pay significant fines and be imprisoned, the amount and duration of which are determined by the amount embezzled and the circumstances of the crime.
It can also impact future employment opportunities as many employers would be reluctant to hire someone with a conviction for a financial crime. A conviction can also affect relationships among family and friends. Anyone facing embezzlement charges must contact someone who can forge a strong defense strategy.