Embezzler pleads guilty in theft scheme

WESTMINSTER, Md. (WMAR) - A Hampstead woman pleaded guilty today to mail fraud, aggravated identity theft and filing a fake tax return in connection with a scheme to steal $313,000 from her employer.

According to Sandra Iris Klaus' plea agreement, from March 2005 to March 2011, she was employed by a roofing and sheet metal company located in Westminster as an administrative assistant and bookkeeper.  

Klaus was responsible for preparing and submitting the employee payroll and issuing checks to pay vendors.

From January 2007 to March 2011, Klaus caused payroll checks to be issued to a fictitious employee, which she then cashed.

Between that time, Klaus cashed 206 weekly paychecks that she fraudulently caused to be prepared, for a total loss of $110,110.87.

Klaus admitted that she also diverted company funds to pay her personal credit card bills and used a rubber stamp with the name of an authorized company signatory printed on it to sign company checks for her benefit.

Klaus also put her name as payee on checks that were signed and given to her to make payments for the business. She also admitted to using company credit cards for personal use.

Using these schemes, Klaus caused the company to make $203,114.69 in payments on her behalf.

As part of her plea agreement, Klaus is required to pay restitution of at least $313,225.56, which she stole from her employer and $111,780 to the IRS.

Klaus faces a maximum sentence of 20 years in prison for mail fraud; two years in prison, consecutive to any other sentence imposed, for aggravated identity theft; and three years in prison and a fine of $250,000 for filing a false tax return. Sentencing is scheduled for June 14, 2012, at 12:00 p.m.