Indiana Woman Charged with Embezzling $300k from Orthodontist

Malinda Downey

A long-time employee of a local dental office has been arrested in connection with the alleged theft of nearly $300,000 from her employer over at least a four-year period beginning in 2015.

Malinda A. Downey, 47, of Madison, has been charged with one count of theft, a Level 5 felony, but additional charges could be forthcoming as accountants, Indiana State Police and the Jefferson County Prosecutors Office continue investigating the case.

Downey is currently free on a $10,000 cash bond. She appeared in Jefferson Superior Court Friday, for a reading of the charges and a “not guilty” plea was entered with her trial date set for 8:30 a.m. on Thursday, Jan. 16, 2020.

Downey, who was arrested by state police Wednesday, had been employed as an office worker at Pawlak Orthodontics, 160 Demaree Drive, Madison, for 17 years using both Ortho-Trac and Quickbooks programs to track customer payments, services and patient information before depositing receipts in the bank account for the business.

According to a probable cause affidavit, Dr. Elizabeth Pawlak, owner of the practice, had suspected discrepancies in receipts and deposits for some time but on July 11 and July 12 discovered that cash payments from two new patients were not properly documented. Pawlak then conducted a review that confirmed payments recorded in Quickbooks did not match those recorded in Ortho-Trac and an estimated $150,000 could not be accounted for.

At that point, Pawlak asked Indiana State Police to investigate the case and Det. David Makowsky advised Pawlak to seek a complete audit of her books.

The affidavit said Pawlak spoke with Downey about the discrepancies on Aug. 12 with Makowsky present and Downey indicated that she must have recorded the transaction incorrectly. When confronted with other discrepancies, Downey did not have an explanation for the missing funds.

Eventually, Makowsky asked Downey how much money was missing and she told him she “did not know.” He asked if she had taken any money prior to 2014 and she said she “didn’t think so” and that she “did not remember if she ever put any money back,” the affidavit said.

At that point Downey said she did not want to speak to Makowsky any further. They set up a time to meet the following day but prior to that Downey notified Makowsky that she did not want to meet with him further.

Autumn Dean, an accountant with Hartman and Williams LLC, completed an audit of the records at Pawlak Orthodontics and, based on a summary between the Ortho-trac and Quickbooks records, $292,251.32 was found missing between 2014 and 2019, the affidavit said.

Dean’s report indicated that a sample comparison of Ortho-Trac entries made under Downey’s login credentials compared to payments recorded in Quickbooks from 2015 to 2019 showed that payments were recorded in Ortho-Trac but not in Quickbooks and that $74,078.00 was missing in Quickbooks. Additional transactions still are being scrutinized.

The investigation led to Wednesday’s warrant issued for Downey’s arrest on the Level 5 felony charge of theft (over $50,000). She was booked at the Jefferson County Jail and later released on bond.

Pawlak has since issued a statement to reassure patients that the thefts that are charged were from Pawlak and not customers.

“We at Pawlak Orthodontics want to thank our patients for being dedicated to our office. We appreciate the loyalty you have shown us. We have had an unfortunate situation occur. A former employee has been charged with theft of funds from our office. We want to assure everyone that this has not affected any patient’s accounts. These were cash-only payments and only affected the bottom line for Dr. Pawlak.

“We want to assure everyone that we have taken measures to make sure that something like this will not occur again. Again, we sincerely appreciate the support and patience we have received from everyone while we deal with this issue.”

Content retrieved from https://madisoncourier.com/Content/News/News/Article/Employee-charged-with-300K-theft-from-local-dentist/178/961/117559

Colorado Woman Charged With Embezzling $250k From Orthodontist

June 30, 2004

Do you have questions about embezzlement?  Give Prosperident a call at 888-398-2327 or send an email to requests@dentalembezzlement.com

Cheryl Dunlap, the woman charged with embezzling more than $250,000 from a local orthodontist while employed there, waived her formal advisement of charges Wednesday. Her next court date was set for Aug. 19 so her attorney, Tom Silverman, has time to read through the “complex and voluminous” documents associated with the case. Dunlap, 46, worked as a bookkeeper for John Traul Orthodontics in Glenwood Springs for 10 years.

She is accused of writing 111 bogus company checks to herself totaling $252,087.62 between April 1999 and February 2004, the arrest affidavit said. Traul first discovered money was missing from his business in March when he was notified by his accountant that Dunlap was suspected of cashing an unauthorized check against one of the business accounts.”Traul stated that there were several checks signed by Dunlap, and there were also several checks that had been deposited but were not signed,” the affidavit said. Dunlap also might have used a signature stamp to forge some of the checks, the affidavit said. The affidavit said Dunlap admitted to police that she stole the money and she wanted to “make it right.”Dunlap told officers, “Everyone knows that I’m guilty, I did it and that it is time that I admit to it,” according to the affidavit. Traul’s orthodontics business has offices in Glenwood Springs, Carbondale, Basalt and Rifle.

If Dunlap is convicted on both charges, she could face 5 to 15 years in prison.

Content retrieved from https://www.postindependent.com/news/accused-embezzler-waives-formal-advisement-of-charges/

Prosperident bags another one! Office manager sentenced to 12 years for embezzling $400K from VA dental practice

Prosperident’s Wendy Askins has put more than her share of embezzlers behind bars.  Wendy’s excellent work resulted in another embezzler going away.  Read on …

Update June 2019:
Deanna Gray has been sentenced to 12 years in prison and ordered to repay her victim $421,000.  Making full repayment may result in her sentence being reduced to five years.

Original story:

A former office manager for a Roanoke orthodontist has pleaded no contest to embezzling more than $400,000 from the business.

Deanna Mache Gray, who now lives in South Carolina, was indicted in November on 10 felony counts of embezzlement from her employer, Dr. Penny Lampros, between 2012 and 2016.

On Tuesday in Roanoke Circuit Court, Gray, 43, pleaded no contest to four of those charges and saw the other six dropped.

According to Roanoke Assistant Commonwealth’s Attorney Andrew Stephens, Gray worked for Lampros for more than a decade, handling her schedules, billing and other record keeping.

Stephens said that after Gray left the office in December 2016, inconsistencies were found in the financial records that suggested “widespread theft of cash payments” through voided transactions, ultimately prompting an investigation by Virginia State Police.

Each count of embezzlement carries the possibility of up to 20 years in prison, but through Gray’s agreement, prosecutors have said they will ask for a punishment within the sentencing guidelines once those are determined.

She will also be required to pay $421,119 in restitution.

Gray’s defense attorney, Ray Byrd, said in court he believed the amount taken was considerably less than the restitution, but he will not present evidence on his client’s behalf until her sentencing hearing, now set for Jan. 15.

Court records show that Lampros has also filed a civil suit against Gray, seeking $850,000 in compensatory damages and $500,000 in punitive damages. That case is scheduled to go before a jury just a few days after Gray’s sentencing, on Jan. 19.

Content retrieved from  https://www.roanoke.com/news/crime/office-manager-pleads-no-contest-to-embezzling-k-from-roanoke/article_d6b26033-9ae8-5cdb-8982-2a8f3b0f9abe.html

Alabama Woman Arrested for Embezzling $54k From Orthodontist

susan-warmack-davis

The Homewood Police Department received a complaint from a local Orthodontist regarding possible embezzlement by an employee. After a month’s long investigation by Homewood Police CID the case was presented to the Jefferson County District Attorney’s White-Collar Crime Unit. On May 8, 2015 a felony warrant was issued for Susan Warmack Davis, W/F, age 61 of Homewood for the theft/embezzlement of $54,770.

Do you have questions about embezzlement?  Give Prosperident a call at 888-398-2327 or send an email to requests@dentalembezzlement.com

Content retrieved from https://www.facebook.com/permalink.php?story_fbid=945391528846073&id=167906173261283

Receptionist Steals $25,000 from NJ Orthodontist, Monmouth Prosecutor Says

Gina Lena

Holmdel, NJ – A front desk receptionist at a Holmdel orthodontics practice was indicted this week for stealing her boss’ checkbook, and writing about $25,000 worth of checks to herself and her friends, Monmouth County prosecutors announced Tuesday.

Dr. Sezer Olcay, DMD, the owner of Holmdel Orthodontics, said she doesn’t usually write checks, so at first she didn’t notice when pages from her personal checkbook went missing last fall.

“I would check my bank account online and notice checks had been made out in small amounts at first, $25, $50,” Dr. Olcay told Patch Wednesday. “Then the amounts got larger.”

As soon as she realized what was happening, the orthodontist called the police.

Her front desk receptionist, Gina Lena, has been charged with stealing her checkbook and writing out checks to herself as well as two of her friends, she said. This went on for about a 10-week period, Dr. Olcay said, from September through November of 2015. In total, she says, Lena stole $25,000 from her.

Do you have questions about embezzlement?  Give Prosperident a call at 888-398-2327 or send an email to requests@dentalembezzlement.com

Why you need good investigators — Houma, LA woman cleared of embezzlement allegations due to lack of evidence

HOUMA — More than three years after a Houma woman was accused of stealing money from the doctor’s office where she once worked, criminal charges stemming from the allegations have been dismissed by a local judge.

Tammy Lynn Leonard, 35, 6739 West Park Ave., was accused of embezzling more than $50,000 from her boss, orthodontist Catherine Schwab. She was charged with two counts of felony theft.

Authorities said Leonard allegedly took payments from patients but failed to deposit the money into the doctor’s account.

Last week, state District Judge Johnny Walker threw out the criminal charges citing lack of evidence.

The decision was based on the fact that prosecutors were using printed financial records to prove their claims that money was missing, but were unable to produce the computer files from which the documents originated.

Defense attorney Doug Greenburg wanted to compare the documents to the original files to check for discrepancies, according to court officials.

But the computers, which became outdated, had been donated to charity. When prosecutors got them back, they discovered the files had been irreparably damaged.

Walker ruled that without the files, the charges had to be dismissed.

First District Attorney Mark Rhodes, the prosecutor who handled the case, said the outcome was an unfortunate one.

“This is part of the process necessary in learning how to prosecute computer crimes,” he said. “But it’s unfortunate for Dr. Schwab and Mrs. Leonard that the truth may never be known simply because computer-crime prosecutions are still in the early stages.”

Do you have questions about embezzlement?  Give Prosperident a call at 888-398-2327 or send an email to requests@dentalembezzlement.com

Wheatland CA woman sentenced for embezzling $104k from orthodontist

jo-ginia-moniz

A Wheatland woman was sentenced Monday to three years in prison for embezzling thousands of dollars from a Yuba City doctor’s office.

Jo Ginia Moniz, 43, was sentenced by Sutter County Superior Court Judge Brian Aronson after pleading to a charge of grand theft.

“She got the strictest sentence she could get, so we’re satisfied,” said Dr. Bonita Hoskins, an orthodontist. “It’s been hanging over our heads for 2 1⁄2 years; it’s such a relief.”

Writing herself fraudulent checks and skimming cash from bank deposits, Moniz stole $104,000 from Hoskins and her husband, John, between January 2006 and November 2009, according to the Sutter County District Attorney’s Office.

Moniz was hired in 2001 and promoted to bookkeeper in 2005.

Another employee discovered the fraud and alerted the Hoskins in 2009.

Hoskins said she and her husband were “kind of shocked” when they learned their long-time employee had been stealing from them.

“She was a real confidence man,” Hoskins said. “We didn’t realize the extent of it at first.”

Moniz will serve her prison sentence in the Sutter County Jail as part of the state’s new prison realignment program.

“She continued and delayed everything for two years, so that’s what she received,” Hoskins said.

Sutter County Deputy District Attorney Clint Curry confirmed Moniz was sentenced under the parameters of Assembly Bill 109.

“It’s interesting, too, because the last case we had similar to this, the defendant also received three years, but actually had to serve her time in real prison,” Curry said.

Tiffany L. Lovell, 32, took more than $150,000, also from a Yuba City dentist, between 2005 and 2010.

Hoskins said she and her husband are putting the incident behind them.

Do you have questions about embezzlement?  Give Prosperident a call at 888-398-2327 or send an email to requests@dentalembezzlement.com

Content retrieved from http://www.appeal-democrat.com/wheatland-woman-sentenced-for-embezzling-k/article_6f0d4e9b-260b-5d3a-92d6-29497ff6dd4e.html

Albuquerque Woman Charged With Embezzlement

paula-carver

ALBUQUERQUE, N.M. — The economy initially appeared to be the cause of a local orthodontist’s financial woes, but an audit instead found that a northwest Albuquerque woman allegedly embezzled thousands from the business, according to a criminal complaint.

Albuquerque orthodontist Dr. Mitchell Silverman had been struggling for more than a year financially and blamed the economy until he realized that he had not seen a decrease in patients, but a decrease in profits.

Silverman asked his accounting firm to do an audit in March and auditors found several discrepancies. A preliminary audit found about $150,000 missing from Silverman’s business, the complaint reads.

The audit found Medicaid and other types of checks had not been deposited and were missing, according to the complaint. It also found deletions in the accounting system.

Paula Carver, 42, was the office manager from December 2008 until she was terminated following the audit in late-March. She had been responsible for taking payments from patients as well as billing and receiving payments from insurance companies and Medicaid, according to the complaint.

Do you have questions about embezzlement?  Give Prosperident a call at 888-398-2327 or send an email to requests@dentalembezzlement.com

Content retrieved from https://www.abqjournal.com/82466/albuquerque-woman-charged-with-embezzlement.html