Embezzlement Punishment

In most US states, embezzlement is termed as a felony and incurs severe punishment and likely incarceration. The bottom line is embezzlement has far-reaching consequences for the victim, it's not just financial loss but the breach of trust, which takes a toll on the victim of an embezzlement. In corporate settings or trust funds this is a very common crime, a person who is entrusted with funds and resources uses them for personal gain. In most cases, criminal proceedings are followed by a civil suit to recover the funds or assets from the embezzler.

Embezzlement is a white-collar crime, it mostly occurs in corporate settings when an individual helps himself with funds or assets of the employer for personal gain. Embezzlement is also common when it comes to the misappropriation of public funds. In most cases, the only evidence of embezzlement is a paper trail, left by the perpetrator while siphoning the funds that have been entrusted to them. Employees or people elected in office which care for public funds are most likely to be given harsh punishment, keeping in mind the severity and repercussions of the crime.

The California penal code 503 states, Embezzlement is the fraudulent appropriation of property by a person, to whom it has been entrusted. You can be charged with penal code 503-515 in the state of California, if you are suspected of embezzlement. Embezzlement is punished as penal code 487 grand theft, if the value of property is more than USD 400 or the individual may be punished under Penal code 488, if the value of the property is less than USD 400. Depending on mitigating circumstance and background of the accused, punishment in California can carry misdemeanor or felony charges. When weighing misdemeanor vs felony, misdemeanor charges can get you 1 year jail time in a county jail and a maximum fine of USD 1,000. Felony charges can get you 2-3 years in a California State prison and a fine of USD 10,000. These are just guidelines as embezzlement penalties vary from case to case as the individual may have violated other laws while carrying out an embezzlement.

Aftermath of Embezzlement

Embezzlement is considered a white-collar crime and is difficult to prove in a court of law beyond doubt that the embezzlement was intentional and done with a criminal intent. In most cases, a paper trail that leads to the embezzled funds or assets is the only evidence available at the disposal of the courts to pronounce a judgment. It is important for an employer to keep track of the payroll accounts, credit card accounts and bank accounts that might be susceptible to misuse. It is important to inculcate good accounting practices to safe guard yourself from a financial fraud. If you have been a victim of embezzlement, notify all the financial institutes that are involved with you and the embezzler, so that they can take corrective action at their end. Inform the police so that they can start their investigation, hire lawyers who can shield you from any further financial responsibilities resulting to fraud. Last but not least, check with your insurance company if there is a provision which safeguards you against embezzlement. It is a good practice to get criminal background check before hiring any employees.

At times, punishment for embezzlement is considered lenient with people getting away with reimbursing the amount embezzled and community service. But think twice before you commit one.