Thursday, April 5, 2012

Former CFO Of SoCal Company Charged With Embezzling More Than $16 Million

Jean Joseph Ibrahim, 33, formerly of Rancho Santa Margarita, California, has been charged with embezzling $16 million from Trustin Technology, Inc., where he had been employed as chief financial officer.  According to federal prosecutors, Ibrahim diverted company funds on multiple occasions to his personal account, as well as an account he controlled to trade in the commodities markets.  Specifically, the criminal complaint alleges Ibrahim made hundreds of wire transfers to his personal accounts and, on occasion, made wire transfers back to the company, netting more than $16 million in company funds.  After an internal investigation, Ibrahim was reportedly confronted by company executives whereby he admitted the fraudulent electronic transfers and a settlement was supposed to have been reached.  However, he fled the country in early 2012, returning in February 2012 and was detained by customs authorities with 40 gold bars and $490,000 in cash in his possession.  Ibrahim also reportedly purchased a villa outside Tehran, Iran, but now he now faces federal prosecution.  Media reports suggest that Ibrahim lost most of the misappropriated funds gambling or in the financial markets.

Read the story herehere and here.

Hat tip: FraudTalk reader Joe.

Comment: This may be the biggest embezzlement of 2012 so far...

Update (4/13/12): Ibrahim has now been formally indicted on two counts of wire fraud.

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