Monday, March 16, 2015

Michigan Woman Accused Of Embezzling As Much As $500K

From the Grand Haven Tribune on 3/11/2015:

Jodi Lynn Kotrch, 47, is facing charges of embezzlement of more than $100,000, forgery, and uttering and publishing.

Meanwhile, her husband was arrested on a probation violation charge out of Berrien County.
A lawsuit filed in October 2014 claims Jodi Kotrch stole more than $500,000 from Magnum Outdoor LLC of Nunica, for whom she did accounting work.

“We believe she used her relationship with the company to convert funds for her personal use,” said Capt. Mark Bennett of the Ottawa County Sheriff’s Department. “She could have been responsible for up to $500,000 in funds taken between 2011 and 2014.”

Although Jodi Kotrch’s husband has not been charged in the embezzlement case, the lawsuit claims that Scott David Kotrch “assisted and conspired” with his wife “by selecting the vehicles, snowmobiles, boat and other personal property to be purchased with plaintiff’s funds.” It also claims that Scott Kotrch was aware that his wife was converting property that belonged to Magnum Outdoor LLC, and much of that property was titled solely in his name.

Bennett said police are still investigating the case and it is possible that there will be more charges.
Jodi Kotrch turned herself in to authorities at the Ottawa County Courthouse last week after a warrant was issued for her arrest. According to court records, she posted a $5,000/10 percent bond and is free pending her next court hearing, currently scheduled for March 17.

Scott Kotrch, 51, was originally charged with possession of a controlled substance (schedule 1 or 2 narcotic), according to Berrien County Prosecutor Mike Sepic. Kotrch was sentenced in April 2014 to two days in jail and one year of probation.

Sepic would not comment on what Scott Kotrch — who was on “jail hold” in Ottawa County before being transferred to Berrien County — may have done to violate his probation. Sepic said arraignment on the probation violation would likely happen within a day after Kotrch arrived in Berrien County.

Lawsuit status

The lawsuit claims that Jodi Kotrch used Magnum Outdoor LLC funds to purchase vehicles and pay off her husband’s credit card, joint credit cards, their mortgage payments and landscapers.

It claims the fraud was discovered after she bought a $200 steak with the company credit card.

On Oct. 13, 2014, an Ottawa County judge signed a temporary restraining order “enjoining the defendants from disposing of assets.”

Subsequent motions note that the Kotrches sold some of the vehicles that were named on a list and requested a show-cause hearing as to why they should not be charged with contempt for disregarding the court order.

The show-cause hearing was scheduled for March 2, but was rescheduled for a later date.
In a previous story, attorneys for both sides in the lawsuit said they were continuing to work toward a resolution and would not offer further comment.

Court records show that Jodi Kotrch filed for divorce from her husband in February.

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