Former Chief Compliance Officer Arrested For Embezzling From Employer
HOUSTON – Dawn Harris, 36, of Katy, a former chief compliance officer for LTD Financial Services L.P., has been charged with embezzling money from her then-employer from 2007 to 2013, announced U.S. Attorney Kenneth Magidson.
The indictment was returned under seal April 15, 2015, and unsealed today upon her arrest. She is scheduled to make her initial appearance before U.S. Magistrate Judge Frances Stacy on Friday, April 17, 2015.
According to the Indictment, Harris was employed by LTD Financial starting in 1999 and was promoted several times, eventually becoming LTD Financial’s vice president of compliance in 2011 and finally its chief compliance officer in April 2013.
Starting in 2007, according to the indictment, Harris embezzled money from LTD Financial by abusing her authority to issue checks to pay for invoices that the vendors did not submit. Later, as she was promoted, Harris allegedly modified her scheme by ordering checks to be issued to pay for legal settlements that did not exist. Harris then deposited these fraudulent checks into her account and used the money to support her lifestyle, according to allegations. Over this seven year period, Harris is alleged to have embezzled approximately $440,090.70.
The Indictment charges Harris with 10 counts of wire fraud which carries a potential term of 20 years in federal prison on each count of conviction as well as a $250,000 maximum fine or twice the pecuniary gain or loss.
The case is being investigated by the U.S. Secret Service’s Houston Area Fraud Task Force and is being prosecuted by Assistant U.S. Attorney Michael Chu.
An Indictment is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.