$5.4 MILLION EMBEZZLEMENT SENDS CEDAR RAPIDS WOMAN TO FEDERAL PRISON
United States Attorney Matt M. Dummermuth announced today that a woman who defrauded her employer out of millions of dollars was sentenced today to more than six years in federal prison. CAROL GRIFFITH, 59, from Cedar Rapids, received the prison term after a November 27, 2006, guilty plea to one count each of mail fraud, possession of a forged security, and money laundering.
(Media-Newswire.com) - United States Attorney Matt M. Dummermuth announced today that a woman who defrauded her employer out of millions of dollars was sentenced today to more than six years in federal prison.
CAROL GRIFFITH, 59, from Cedar Rapids, received the prison term after a November 27, 2006, guilty plea to one count each of mail fraud, possession of a forged security, and money laundering.
At the guilty plea, GRIFFITH admitted she was employed as a bookkeeper and administrator by a related group of companies, trusts, and individuals doing business in Cedar Rapids. GRIFFITH admitted she defrauded her employers out of approximately $5.4 million over several years by fraudulently using her employers’ checks. GRIFFITH obtained her employers’ signatures on checks made payable to entities with which her employers did business and changed the payee on these checks. GRIFFITH also filled in blank checks that had been pre-signed by her employers and used checks on which she forged her employers’ signatures. GRIFFITH admitted she also fraudulently issued extra payroll checks to herself. GRIFFITH admitted she used the proceeds from the checks to make payments to her credit card company or to pay for goods and services for her benefit and for the benefit of her family.
GRIFFITH was sentenced in Cedar Rapids by United States District Court Chief Judge Linda R. Reade. GRIFFITH was sentenced to 78 months’ imprisonment. A special assessment of $300 was imposed, and she was ordered to make over $5,390,413.91 in restitution. She must also serve a 3-year term of supervised release after the prison term. There is no parole in the federal system.
GRIFFITH was ordered immediately into the United States Marshal’s custody at the end of the hearing where she will remain until she can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Sean R. Berry and investigated by the Federal Bureau of Investigation and the Cedar Rapids Police Department.
United States Attorney Northern District of Iowa
Hach Building, Suite 400, 401 1st Street, S.E. Cedar Rapids, Iowa 52401-1825
Phone: 319-363-0091 Fax: 319-363-1990
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USDOJ
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