A San Diego business was the victim of a brazen embezzlement scheme orchestrated by its former bookkeeper, Arthur Jason Morales. Morales, 42, of Pahrump, Nevada, pleaded guilty in federal court to a wire fraud charge, admitting to issuing himself 28 unauthorized checks totaling more than $183,000.
According to court documents, Morales, who worked as a bookkeeper for a San Diego lighting company, abused his access to the company’s checkbook and issued the unauthorized checks to his personal business, ‘AJ’s Tax & Bookkeeping Service.’
He then deposited the checks into his personal bank account and concealed the payments by manipulating the company’s accounting records to make it appear that each check was issued for a legitimate business expense to a third-party vendor.
The company realized Morales’ fraudulent activity in March 2016 when it discovered a check in the amount of $16,274 that Morales had issued to his personal business and cashed.
‘The impact of fraud on small businesses can be devastating,’ said Acting U.S. Attorney Randy Grossman. ‘This defendant abused his position of trust to enrich himself, and he has been held to account for his crime.’
Morales is scheduled to be sentenced on June 7, 2021, before U.S. District Judge Larry Burns.
Related Federal Cases
- Marc Christopher Harmon, Investment Fraud Scheme, California 2024 · Washington
- Gary Thornhill, Wire Fraud, CA 2024 · Nevada
- Lee Loomis, Investment Scheme Fraud, California 2023 · Pennsylvania
- Javier Jimenez Alvarez, Disability Benefits Fraud, California 2024 · Pennsylvania
- Mark Hofmann, Wire Fraud, Louisiana 2024 · Washington
Key Facts
- State: California
- Category: White Collar Crime
- Source: DOJ Press Release â†â€â€
ðŸâ€Â’ Get the grimiest stories delivered weekly. Subscribe free →
MORE FEDERAL CRIME NEWS
White Collar CrimeWhite Collar CrimeWhite Collar CrimeWhite Collar Crime