Corporate CEO Sentenced In Fraud Case
Darci Shillington Defrauded Hilco Technologies of $1.3 Million
GRAND RAPIDS, MICHIGAN — Darci Shillington appeared in U.S. District Court today for sentencing before Judge Janet T. Neff. The judge imposed a sentence of a total of 36 months in prison, to be followed by two years of supervised release and restitution of $399,386. The court allowed Shillington to remain on bond pending designation of her prison facility.
Shillington was the CEO of Hilco Technologies, a Grand Rapids plastics manufacturing company. As CEO, she was paid an annual salary of $175,000. Between June and September, 2017, she defrauded the company of $1,397,000 by submitting phony invoices for payment and pocketing the money. She used the stolen money to purchase and furnish a lavish home in Ada, Michigan. When purchasing the home, Shillington forged a letter, supposedly from Hilco’s Board of Directors, explaining how she legitimately possessed large cash reserves to make a down payment on the residence. The fraud left Hilco short of cash to pay its real suppliers, who eventually contacted other Hilco representatives to complain. They discovered the fraud in September 2017, and called the FBI.
U.S. Attorney Andrew Birge said "This crime involved a business, but it was really about hurting people. Darci Shillington earned a salary that most people would be thrilled to have; but she just had to have more. She took advantage of suppliers, jeopardized the company’s stability, and in turn put the jobs of the company employees at risk."
This case was investigated by the Federal Bureau of Investigation and was prosecuted by Assistant U.S. Attorney Timothy VerHey.