Former New Haven City Employee Sentenced to 9 Months in Federal Prison for Embezzling $100K

John H. Durham, United States Attorney for the District of Connecticut, announced that DANIEL LION, 65, of Hamden, was sentenced today by U.S. District Judge Janet C. Hall in New Haven to nine months of imprisonment, followed by three years of supervised release, for embezzling more than $100,000 from the City of New Haven.  Judge Hall also fined Lion $7500 and ordered him to perform 300 hours of community service while on supervised release.

According to court documents and statements made in court, Lion was employed by the City of New Haven for approximately 40 years, most recently in the city’s accounting department.  New Haven had a policy where employees can be paid in advance if they are about to take approved vacation leave.  As part of his employment, Lion had access to the city’s payroll system.

From approximately 2002 to June 2018, Lion periodically accessed the city’s financial accounting software to issue vacation paychecks to himself.  He then deleted the computer entries for the checks, which caused the payroll system to issue his regular paycheck, as well.  Through this scheme, Lion stole $102,947.44 from the City of New Haven.

Judge Hall ordered Lion to make full restitution.

Lion retired from the City of New Haven in March 2019.

On May 22, 2019, Lion pleaded guilty to one count of wire fraud.

Lion, who is released on bond, is required to report to prison on December 4, 2019.

This investigation was conducted by the Connecticut Financial Crimes Task Force, U.S. Secret Service and New Haven Police Department.  The case was prosecuted by Assistant U.S. Attorney Ray Miller.