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SPECIAL REPORTS
Embezzlement punishments vary
HUNTINGTON -- Opinions vary on the proper punishment for a convicted embezzler. It also depends upon where a case is prosecuted.
Nationally, most people were sentenced to prison after being convicted of embezzlement in U.S. District Courts between fiscal year 2003 and 2007. They served an average sentence of four to six months, according to the National White Collar Crime Center.
The story is different in state court. Most cases recently pro-secuted in Cabell Circuit Court ended with the person serving probation and paying restitution. Many defendants pleaded guilty to a lesser charge, after being indicted with felony embezzlement.
U.S. Attorney Charles T. Miller said both scenarios should force current embezzlers to consider their actions.
"You've got to ask yourself 'Is it worth it?'" he said. "It may be something you think you need right now, but in the long term it can destroy your life."
Federal prosecutors must have jurisdiction to prosecute a case in their arena. Miller's office has jurisdiction over bank embezzlement through the Federal Deposit Insurance Corp. It also has jurisdiction over embezzlement cases involving mail and the U.S. Postal Service.
Federal prosecutors also can adopt a case when tax implications are involved. For example, in Diann Richmond's case the Internal Revenue Service claimed she did not pay taxes on $1.17 million in funds embezzled from the former Huntington Emergency Physicians Group. She pleaded guilty to tax evasion.
IRS Special Agent Anne Marie Coons said her agency's role becomes more important in these cases due to the complex financial transactions that can take time to unravel.
"The federal tax laws are normally violated in these cases, which can add to additional jail time," she said.
Embezzlement crimes are not violent in nature, but they can be very costly to the victim. Huntington Police Cpl. Phil Watkins said that leads many business owners to be disappointed when the suspect receives probation only.
"If you look at the actual loss, a lot of times an embezzler will steal a lot more money than a burglar who breaks into five houses," he said. "(The burglar) may get away with $2,000."
An embezzler can get away with much more.
Many times, in state court, the probation and restitution combination works. Watkins said paying restitution hurts the embezzler's pocket book and replenishes that of his or her victim.
The method is successful, as long as the embezzler can repay the debt. Authorities will go after the person's property to raise enough funds.
