Friday, October 30, 2020

Former construction firm CFO stole money from business to fund luxury lifestyle

-

The former chief financial officer of a Sussex County construction company was arrested Thursday and charged with embezzling millions from the business and spending the money on his mortgage, a luxury car and six donkeys, authorities said.

Jonathan Baker, 38, of Green Township, was arrested by FBI agents after a federal grand jury indicted him on five counts of wire fraud and three counts of money laundering, according to U.S. Attorney Craig Carpenito.

Baker held high-level positions in two companies and defrauded both companies and several commercial lenders by altering bank statements, balance sheets and bank accounts from 2015 to 2018, authorities said.

“Baker misappropriated millions of dollars from the (companies’) bank accounts and used the funds for his personal expenses, including mortgage payments on Baker’s residence, the purchase of a BMW, and the purchase of six donkeys,” Carpenito said.

- Advertisement -

The indictment states Baker made a $20,000 payment to Wells Fargo Home Mortgage, wrote a $15,000 check to BMW of Newton and spent hundreds of thousands more on personal expenses. Carpenito added that Baker allegedly made unauthorized purchases on company credit cards.

Carpenito alleges that Baker lied to others in the companies when they confronted him with evidence of the fraud, telling them “a commercial lender had made a mistake in filing a lien” against one of the businesses.

Baker “repeatedly misrepresented that the commercial lender would be issuing a retraction and apology,” Carpenito said.

When members of the companies tried to organize conference calls to discuss the liens, Baker “refused to produce the companies’ bank statements, changed the locks on the companies’ offices, and attempted to disable the companies’ email and phone system,” Carpenito said.

- Advertisement -

If convicted of all charges, Baker faces 30 years in prison and fines of more than $500,000.

MUST READ

Actress Lori Loughlin begins 2-month prison sentence for role in college admissions scam

Actress Lori Loughlin reported to a federal prison in Northern California on Friday to start a two-month sentence for her role in a massive...

FirstEnergy fires CEO, other executives over Ohio bribery scandal

FirstEnergy Corp. has fired its CEO amid multiple federal investigations related to an Ohio nuclear bailout law passed year. The Akron-based utility company announced in a...

Ukraine’s court strips critical power from anti-corruption agency

Ukraine's Constitutional Court has stripped the country’s anti-corruption agency of some of its critical powers. The high court’s ruling published on October 28 declared it...

Former South Korean President Lee Myung-bak sent back to prison for 17 years in corruption case

Former South Korean president Lee Myung-bak was ordered back to prison on Thursday (Oct 29) as the country's Supreme Court upheld a 17-year jail...

Nigerian court declines to issue international arrest warrant for fugitive ex-Petroleum Minister in corruption case

The Abuja Division of the Federal High Court, on Wednesday, refused an application by the Economic and Financial Crimes Commission, EFCC, for an arrest...

Subscribe For More

Get our daily notification on the latest financial crimes news around the World

Advertisement
Advertisement

Latest News

This Week

Swiss court upholds money-laundering conviction of ex-Ukrainian lawmaker Martynenko

A Swiss court has upheld the conviction of former Ukrainian lawmaker Mykola Martynenko for laundering via Swiss banks millions of dollars worth of kickbacks...

Two U.S. Navy service members get prison for defrauding military insurance program

Two U.S. Navy service members were sentenced in San Diego federal court Friday for their roles in an insurance fraud scheme that involved making false medical claims to...

Former Blue Bell Creameries CEO indicted for fraud linked to 2015 listeria outbreak

The former president and CEO of Blue Bell Creameries L.P., a Texas ice cream company, was indicted Tuesday on wire fraud charges in connection with a scheme...

Former Jacksonville City Council members set for sentencing in fraud case

Former Jacksonville City Council members Katrina Brown and Reggie Brown are scheduled to be in federal court Tuesday to begin a hearing on their...
Advertisement

Adblock Detected!

Our website is made possible by displaying online advertisements to our visitors. Please consider supporting us by whitelisting our website.

Enable Notifications    Ok No thanks