Embezzlement of Funds - Attorney Steven J. Topazio
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Embezzlement of Funds

In Massachusetts, embezzlement is a criminal offense involving stealing or misappropriating property that has been entrusted to someone for safekeeping. It is considered a type of theft crime and is punishable by law.

Under Massachusetts law, embezzlement is defined as the fraudulent conversion of property or money by a person who has been entrusted with that property or money, for their own use or benefit. The crime of embezzlement can be committed by an employee, trustee, guardian or any other individual who has been entrusted with the property or money of another.

The penalties for embezzlement in Massachusetts depend on the value of the property or money that was embezzled. If the value is less than $1,200, it is considered a misdemeanor and is punishable by up to 1 year in jail and/or a fine of up to $1500. If the value is $1,200 or more, it is considered a felony and is punishable by up to 5 years in state prison and/or a fine of up to $25,000.

In a recent case, an employee of a credit union “authorized by federal law” who was found guilty under G. L. c. 266, § 52 (§ 52), of embezzlement of the credit union’s funds, was reversed because a credit union is not a bank. The court found however that the employee may be found guilty of larceny by embezzlement, in violation of G. L. c. 266, § 30 (§ 30). The court also concluded, however, that larceny by embezzlement, in violation of § 30, is a lesser included offense of embezzlement of a bank, in violation of § 52, and that Federal preemption doctrine does not bar State prosecution of a Federal credit union employee for larceny by embezzlement.

It is important to note that the specific laws and penalties for embezzlement in Massachusetts may vary depending on the specific circumstances of the case. It is recommended to consult with a criminal defense attorney who is experienced in handling embezzlement cases in Massachusetts.


COMMONWEALTH vs. GEORGE LABADIE, 467 Mass. 81(2014)

Background photo courtesy of Adam Nir