Day-Lee Foods Embezzlement Case Study
772 Words4 Pages
Embezzlement case
Who?
Yasuyoshi Kato
40 years old
Chief financial officer of Day-Lee Foods (Large Japanese meat packing company)
Company based in Santa Fe Springs, California
To explain all of this money, he would say that he was the inventor of Nintendo
Biggest case of embezzlement in U.S. history (up to 1997)
His identity is now protected impossible to find pictures of him online
What is day-lee foods, inc
Subsidiary of Nippon Meat Packers of Osaka5 The mother company is worth $7 billion (at the time)
Japanese company
Among the biggest meat companies in Japan
Highlights (dates)
Began in 1991
Discovered in 1997
He was arrested by the Internal Revenue Service (IRS) in March 1997
Very unusual case as the money was going straight to him
How much?
Pleaded guilty for 62$ million dollars stolen from day-lee foods
Total embezzlement of $95 million
Used about $62 million for himself (and his family expenses/girlfriends)
Had to use $38 million in order to hide evidence
Confessed stealing up to $ 100 million
Sentence of 63 months could have faced 76 years
What kind of fraud?
Definition of Embezzlement by investopedia:
A form of white-collar crime where a person misappropriates the assets entrusted to him or her. In this type of fraud the assets are attained lawfully and the embezzler has the right to possess them, but the assets are then used for unintended purposes. Embezzlement is a breach of the fiduciary responsibilities placed upon
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