Monday, December 22, 2008

Florida Company Profit Down Post $36.6 Million Emebezzlement Settlement

PBSJ Corp., a publicly traded business services company based in Miami, Florida disclosed in its most recent filings with the SEC, that net income for the quarter ending September 30, dropped nearly 20 percent to $2.51 per share compared to $2.99 for the prior period. While much of the revenue drop was blamed on poor market conditions, the company also pointed to the recent settlements following the company's $36.6 million embezzlement fiasco involving its former chief financial officer and two other employees. The former CFO, William Scott Deloach, 50, of Miami, plead guilty to embezzlement charges and campaign contributions violations in September 2006. Deloach's co-defendants, Maria Garcia and Rosario Licata, both longtime employees and subordinates of his, plead guilty to an embezzlement charge. The embezzlement started in 1992 when Deloach was hired as controller and continued through 2005, according to prosecutors. The three were involved in a scheme issuing unauthorized checks from the company's master cash disbursement account, depositing them in personal accounts, splitting the proceeds for their own personal benefit - living lavish lifestyles and supporting personal gambling habits. Deloach was sentenced to 97 months in prison, plus restitution. Licata and Garcia were each sentenced to 63 months in prison, plus restitution.

Read the embezzlement story here, here and here.

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