Karyn E. Graham, Embezzlement, Illinois 2010

Tuscola Woman Charged With Embezzling $340,000 From Former Employer

Urbana, Ill. – Karyn E. Graham, a 43-year-old woman from Tuscola, Illinois, has been charged with embezzling more than $340,000 from her former employer, a Champaign county-based farm machinery and implement company, Shaff Implement and Shaff Machinery Company.

According to federal authorities, Graham, who was the accounting manager at the company from 2006 to early 2010, used her position to divert the funds for her own personal benefit. The indictment alleges that she used the company’s credit card to make personal purchases totaling approximately $147,000, as well as the company’s Sam’s Club card to make personal purchases worth more than $51,000.

Graham is also accused of writing unauthorized checks payable to herself or various payees totaling approximately $69,000, paying approximately $16,000 to her personal credit cards, depositing more than $12,000 in her personal bank accounts, and paying more than $8,500 for her personal cell phone bill.

In addition to the embezzlement charges, Graham is also accused of filing false income tax returns for 2006, 2007, 2008, and 2009, omitting a total of approximately $302,851 from her returns. The indictment alleges that the total estimated additional tax owed for the four-year period is approximately $103,201.

The charges are the result of an investigation by the Internal Revenue Service Criminal Investigation Division and the Champaign County Sheriff’s Office, in cooperation with Shaff Implement and Shaff Machinery Company. The case is being prosecuted by Assistant U.S. Attorney Eugene L. Miller.

If convicted, Graham faces a maximum statutory penalty of 20 years in prison and fines of up to $250,000 for the wire fraud charge. For each count of filing a false income tax return, the penalty is up to three years in prison and fines of up to $100,000. Final sentences are determined by the court.

Members of the public are reminded that an indictment is merely an accusation; the defendant is presumed innocent unless proven guilty.

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