Misappropriation of funds, or embezzlement, refers to the unauthorized acquisition of money entrusted to the perpetrator’s care. In many cases, the alleged offender has an added measure of responsibility, such as a trustee of a trust, the administrator of a deceased person’s estate, a bookkeeper, a corporate executive, or someone who holds public office.
If you have been charged with misappropriation of funds in New Jersey, you need an experienced N.J. theft crime attorney to build a strong legal defense for you.
The criminal defense team at the Law Offices of Jonathan F. Marshall is made up of former New Jersey prosecutors and public defenders who have extensive experience handling embezzlement cases in courtrooms across New Jersey. Lead attorney Jonathan F. Marshall was an accountant before practicing law. His accounting background provides him with additional insights into defense strategies regarding financial crimes.
The Law Offices of Jonathan F. Marshall has one of the largest and most seasoned teams of criminal defense attorneys in New Jersey. We have the resources to respond quickly to a misappropriation of funds investigation or indictment and will devote the time and energy required to provide you with a strong defense.
We understand the complexities of today’s business world and recognize that misunderstandings and mistakes occur. During the decades we have spent in courtrooms across the state, we have developed the professional relationships necessary to be heard and taken seriously as we negotiate for reduced charges, diversionary programs, and other agreements that benefit our clients charged with misappropriation of funds.
By hiring a criminal lawyer at the Law Offices of Jonathan F. Marshall, you can be assured of quick and aggressive representation. We will work to head off an indictment or ensure that charges are filed in New Jersey state courts rather than federal courts. Contact a knowledgeable criminal defense attorney at the first sign of investigation about your handling of funds. Set up a free, no-obligation meeting with one of our experienced New Jersey embezzlement defense attorneys.
What Is Misappropriation of Funds in New Jersey?
The crime of misappropriation of funds is a theft crime in which the alleged perpetrator was accorded an element of trust that gave him or her access to the accounts, assets, or money that they allegedly took without authorization. The related term embezzlement refers to illegally taking property you control but do not own.
For example, a person acting as treasurer for a club, civic organization, church, or corporation commits misappropriation of funds and embezzlement if he or she takes money that belongs to the organization and diverts it to his or her own accounts or use.
New Jersey does not have statutes that specifically address the crimes of misappropriation of funds or embezzlement. Charges in an indictment might cite N.J.S.A. 2C:20-3, theft by unlawful taking or disposition, and/or N.J.S.A. 2C:20-4, theft by deception. Depending on the circumstances, charges might also include:
- N.J.S.A. 2C:20-7, Receiving stolen property
- N.J.S.A. 2C:20-9, Theft by failure to make required disposition of property received
- N.J.S.A. 2C:30-2, Official misconduct. This applies to public officials.
Generally, to secure a conviction for misappropriation of funds, a prosecutor must be able to prove:
- The owner of the funds in question had entrusted them to the defendant, therefore affording the defendant some level of control but not ownership.
- The defendant knowingly and intentionally took and used all or a portion of the funds without authorization to do so.
- The defendant used the funds for their own personal purposes. The funds need not be spent, and the prosecution does not need to identify a purpose. Simply transferring funds out of an account or refusing to give the money to the owner when demanded qualifies as using them for personal purposes.
What Are the Penalties for Misappropriation of Funds?
New Jersey punishes individuals convicted of theft crimes according to the amount of money or value of property stolen.
Charges and potential penalties available for misappropriation of funds in New Jersey include:
- For a value of more than $75,000, a second-degree offense punishable by up to 10 years in prison and a fine of up to $150,000
- For a value of more than $500 but less than $75,000, a third-degree offense punishable by up to 5 years in prison and a fine of up to $15,000
- For a value of $200-$500, a fourth-degree offense punishable by up to 18 months in prison and a fine of up to $10,000
- For a value of less than $200, a disorderly persons offense punishable by up to 6 months in jail and a fine of up to $1,000.
Under New Jersey law, the judge when handing down a sentence may consider as an aggravating circumstance that “the defendant took advantage of a position of trust or confidence to commit the offense” or that the offense “involved a breach of the public trust” (N.J.S.A. 2C:44-1a(4)).
In addition, you can expect to be ordered to make restitution for any funds that were not recovered upon your arrest or indictment.
A record that shows a conviction for theft, regardless of whether it is called misappropriation of funds or embezzlement, is a red flag for any potential employer running a background check. Such a mark on your record would damage your chances for success if background checks are made for loan applications, housing rentals or scholarships, or admission to college.
Of course, a public official convicted of misappropriating funds should expect to lose that position. Even an indictment for misappropriation of funds without a conviction will severely damage a public official’s reputation and career. This is another reason why it is advisable to obtain experienced defense counsel, as soon as there are indications that an indictment could be forthcoming.
The Law Office of Jonathan F. Marshall has nine offices across New Jersey and has been featured in The Star-Ledger and USA Today and on CNBC, ABC, and popular TV shows. Our criminal defense lawyers can provide the legal knowledge and muscular defense high-profile embezzlement cases require.
Defense Against Misappropriation Charges
Regardless of the circumstances of misappropriation charges leveled against you, the prosecutors must prove their case beyond a reasonable doubt to obtain a conviction. You have the Constitutional right to a robust legal defense that thoroughly challenges the prosecution’s case and seeks a resolution that is most favorable to you.
Our legal team will investigate the case against you and the full circumstances of your indictment to develop a defense strategy. We will identify the weaknesses in the prosecution’s case and seek a resolution to your case that preserves your freedom and your future.
Typical defenses against charges of misappropriation of funds include:
- Lack of intent. You did not intend to take or use the funds in question.
- Authorization. You had the owner’s permission to use the funds for your own purposes.
- Ownership. You had a good faith belief that you had assumed legal ownership of the funds.
- Mistaken identity. You were not the individual who illegally transferred the funds. This defense may include evidence of identity theft as a precursor to a hacking theft.
- Duress. You misappropriated the funds under threat of harm or other coercive behavior.
- Entrapment. You were coerced by law enforcement into misappropriating the funds.
- Lack of testimony. This defense may involve a lack of credible prosecution witnesses or our identification of faulty or fabricated testimony.
- Lack of evidence. This may include identifying faulty forensic work tracing computer-based activity.
- False value. By disputing the value of funds allegedly misappropriated, we could get potential penalties reduced.
Based on our investigation, we will make pre-trial motions as appropriate to have the court exclude disputed evidence from the proceedings. As we are able to poke holes in the prosecution’s case, we will begin negotiations to have charges dismissed or reduced. For a first-time offender, we may be able to arrange a plea that leads to a probationary diversion program, such as Conditional Discharge, Pre-Trial Intervention, or the N.J. Veterans’ Diversion program.
It may be possible to make restitution to the alleged victim and persuade them to drop the charges. Our attorneys and legal staff are skilled and compassionate negotiators who can make such overtures under the proper circumstances.
If we go to trial, we will do so prepared to rebut the prosecution’s case and mitigate the impact of any evidence against you. Defendants are acquitted in New Jersey courts every day, and we have a highly successful record at trial overall.
Contact Our NJ Misappropriation of Funds Defense Lawyers Today
If you face indictment for misappropriation of funds, embezzlement, or related theft charges in New Jersey, exercise your right to remain silent, and call our experienced criminal defense attorneys as soon as you can. Our legal team will move promptly to prepare a defense aimed at achieving the best available outcome for you.
Don’t risk the potentially severe punishment New Jersey laws prescribe for embezzlement or the ongoing consequences of a permanent record with a theft conviction. Contact the Law Offices of Jonathan F. Marshall now for a free initial legal consultation.
