Former credit union employee sentenced for embezzling nearly $2.5 million

Illinois Money Budget

DES MOINES, Iowa (KWQC) – A former credit union employee was sentenced on Tuesday, November 15, 2016 for embezzling nearly $2.5 million.

Linda Lee Clark, 68, of Corydon, Iowa, was sentenced to 78 months, or 6.5 years, in prison. Clark was ordered to serve five years of supervised release following her imprisonment and to pay $2,494,809.33 in restitution.

On July 15, 2016, Clark pled guilty to a charge of embezzlement by a credit union employee. Clark admitted to embezzling approximately $2,494,809 of funds from the SCICAP Credit Union in Chariton, Iowa, from the time she began working there as a bookkeeper in 1978 until she resigned in August 2015.

Clark redirected account holders’ deposits and initiated unauthorized withdrawals of funds from member accounts into both her own personal account and the accounts of her children. Clark concealed the embezzlement by maintaining two sets of accounting records.

As a result of Clark’s embezzlement, the Credit Union became insolvent and was forced into liquidation.

The investigation was conducted by the National Credit Union Administration and the Federal Bureau of Investigation. The case was prosecuted by the U.S. States Attorney’s Office for the Southern District of Iowa.

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