A Cedar Falls office manager who drained a small business of approximately $250,000 over a two-year period has been sentenced to over two years in federal prison.
Teresa Mae Chiappone, 57, from Waterloo, Iowa, received a 27-month prison term after a guilty plea to one count of wire fraud on September 19, 2023.
Between September 2020 and September 2022, Chiappone embezzled approximately $250,000 from the small business while working as its office manager.
Chiappone abused her position of trust to write over $160,000 in unauthorized checks drawn on the small business’s bank account for her own benefit.
Additionally, she intercepted at least $50,000 in cash deposits and made no less than $3,000 in unauthorized credit card charges.
According to reports, Chiappone gambled away thousands of the small business’s moneys at Iowa casinos.
The small business had to take out a loan to cover its losses, contract with a local accounting firm to conduct a forensic audit, and max out its line of credit at a local bank.
Chiappone was sentenced in Cedar Rapids by United States District Court Chief Judge C.J. Williams.
She was ordered to make $255,639.16 in restitution to the victim and its insurance company as part of her sentence.
Chiappone must also serve a three-year term of supervised release after the prison term.
The case was prosecuted by Assistant United States Attorney Timothy L. Vavricek and investigated by the Federal Bureau of Investigation.
The Cedar Falls Police Department assisted in the investigation.
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Key Facts
- State: Iowa
- Category: White Collar Crime
- Source: DOJ Press Release â†â€â€
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