Sujata Sachdeva, 46, a former vice president of finance at Koss Corporation, pleaded guilty to all the six counts of wire fraud, early this year, before a Milwaukee court in Wisconsin Tuesday, Jul 27.
US District Judge Lynn Adelman accepted her guilty plea to all six counts of felony fraud in connection with the federal government's $ 34 million embezzlement case .
Each charge against Sachdeva carries a maximum penalty of 20 years in prison and a fine of $ 250,000. Each charge also carries a mandatory special assessment of $ 100 and a maximum term of supervised release to follow any term of confinement up to five years.
She agreed to pay an estimated $ 34 million in restitution to Koss that calls for at least five years in prison, although prosecutors may recommend a longer sentence.
The government plans to auction more than 22,000 items of luxury clothing, shoes, jewellery, furs and art objects that Sachdeva bought with the stolen money.So far no date has been set for the auction.
"Ms. Sachdeva engaged in irrational and excessive buying sprees that escalated over time," the statement says. "When the bills piled up, she took money from her employer to pay for her purchases."
"A large portion of the funds were used to pay for items that Sue Sachdeva never possessed, clothes she never wore and items she never picked up."