Stuart Teshima, the former Chief Financial Officer of a large San Diego-based Department of Defense contracting, pleaded guilty today to embezzling more than $825,000 from the company over the course of eight years. Teshima admitted that he stole the money while he was employed as Vice President, then Senior Vice President, and finally as the CFO of the victim company.
Teshima, who oversaw the company’s credit card program, admitted that he misused his corporate credit card to pay for personal expenses including airfare and other personal travel, jewelry, gifts for family members, furniture, lavish dinners, and even his personal income tax bill.
Before submitting invoiced for reimbursement, Teshima would conceal the personal spending by altering his account statements to replace the personal items with fictitious business expenses. He falsely reported to company representatives that the statements he submitted were generated directly from his credit car account, when in fact he altered the records himself before submitting them for reimbursement.
Teshima admitted that he started the fraud in early 2008, and continued to charge thousands of dollars per month of personal expenses until he left his employment in August 2015. By then, he had racked up unauthorized personal charges of more than $825,000.
The victim company serves the U.S. Department of Defense and other government agencies to provide a wide variety of services including ship building and repair, nuclear operations support, and information technology. t has offices across the country and employs more then 1,000 people.
As part of his plea, Teshima has agreed to pay restitution of $825,341.