City of Detroit Employee Pleads Guilty to Stealing $265,000
A woman who worked for the City of Detroit’s audit and payroll department has pleaded guilty to stealing $265,000. Masharn Franklin was in charge of garnishing money from the paychecks of city employees, and the government says she embezzled money by issuing checks in the names of her relatives.
According to Crain’s Detroit, the FBI has recovered $58,000 so far.
U.S. Attorney Mathew Schneider says Franklin “abused her position of trust.”
According to a Hiscox study, U.S. businesses lost an average of $1.3 million to employee theft in 2016. The most common embezzlement schemes were funds theft (34.5%) and check fraud (22.1%).
Read more about why good employees go bad here.