Skip to main content
Press Release

Former Corporate Executive Sentenced for $30 Million Embezzlement Scheme

For Immediate Release
U.S. Attorney's Office, District of Massachusetts

BOSTON – The former Chief Financial Officer of Alden Shoe Co. was sentenced today for embezzling approximately $30 million from the company as part of a long-running scheme. 

Richard Hajjar, 64, of Duxbury, was sentenced by U.S. District Court Judge Nathaniel M. Gorton to 70 months in prison and three years of supervised release. Hajjar was also ordered to pay restitution of $33,962,880 and forfeiture of $27,300,552. On May 5, 2021, Hajjar pleaded guilty to one count each of wire fraud, unlawful monetary transactions and filing a false tax return.

From at least 2011 through October 2019, when he was terminated by Alden Shoe Co., Hajjar embezzled money by writing checks to himself from company bank accounts and transferring funds from company accounts to his personal accounts and to another individual. In total, Hajjar embezzled approximately $30 million which he used to enrich himself and to buy gifts and luxury travel for others close to him, including private flights to the Caribbean and diamond jewelry.

In addition, between approximately 2014 and 2019, Hajjar failed to report the proceeds of his embezzlement as income on his tax returns, thereby failing to pay approximately $5,112,822 in taxes to the Internal Revenue Service.

Acting United States Attorney Nathaniel R. Mendell; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and Joleen D. Simpson, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations made the announcement today. Assistant U.S. Attorneys Mackenzie A. Queenin of Mendell’s Securities, Financial & Cyber Fraud Unit and Carol E. Head of Mendell’s Asset Recovery Unit prosecuted the case.

Updated April 19, 2023

Financial Fraud