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Date: 03-19-2019
Case Style:
United States of America v. Jeanette Elizabeth Ford
Case Number: 2:18-cr-00013-RWS
Judge: Richard W. Story
Court: United States District Court for the Northern District of Georgia (Hall County)
Plaintiff's Attorney: John S. Ghose, Alex Sistala and Kelly Connors
Defendant's Attorney: Scott Robert Grubman
Description:
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Gainesville, GA - Former controller of California company sentenced for embezzling $1.27 million
Jeanette Elizabeth Ford was sentenced for embezzling over $1.27 million from her now-bankrupt former employer, Classic Party Rentals (CPR). Ford was convicted of wire fraud on May 14, 2018, after she pleaded guilty to a criminal information.
“Ford abused her position of trust and embezzled a startling amount of money from her employer,” said U.S. Attorney Byung J. “BJay” Pak. “Over 15 months, Ford managed to steal and spend over $1.2 million -- on expensive vacations, the renovation and furnishing of a mountain home, and personal items for herself and her family. Now Ford is going to federal prison and has been ordered to pay restitution to the victims.”
“Ford worked in a position of trust for a company that expected her to honor that trust,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “Instead she chose to abuse it and her personal greed not only hurt the company, but everyone who worked for them. They will never be made whole but can take some solace in the fact that Ford is paying for her crimes.”
According to U.S. Attorney Pak, the charges and other information presented in court: In 2015 and 2016, Ford was employed as an operations controller in the accounting and finance department at CP OpCo, LLC, d/b/a Classic Party Rentals. Prior to its liquidation and sale in mid-2017, CPR was one of the nation’s largest event rental companies. CPR operated throughout the United States under the names of Classic Tents, Ducky-Bob’s, Panache, Festive Fare, and Capital Party Rentals. Although CPR was headquartered in Inglewood, California, Ford worked remotely from her home in Blue Ridge, Georgia.
As part of her job as a controller at CPR, Ford was responsible for reconciling and recording employees’ corporate credit card transactions within CPR’s accounting records. Ford used her authority and access as an operations controller to circumvent company controls and charge over $1.27 million in unauthorized personal expenses, for herself and her family, to a corporate credit card issued in her name. In her position, she was able to hide her unauthorized charges from her colleagues and supervisors at CPR.
Ford manipulated transaction reports from MasterCard, the corporate credit card company, by deleting the unauthorized transactions from MasterCard spreadsheets and then presenting the manipulated data to conceal the credit card transactions. Ford also recorded fraudulent entries within the accounting system. The corporate credit card company would automatically debit a cash account when CPR’s total credit card transactions reached a certain threshold.
As bank reconciliations were performed at the end of each month, these cash transactions were recorded by crediting cash and debiting the credit card liability. Ford would use her ability and access to post entries within the system and record the fraudulent journal entries. These entries were then used to change the balance of the credit card liability in order to reconcile the credit card file that she manipulated. Ford also circumvented CPR policy by not linking her company credit card to CPR’s expense reporting software.
Jeanette Elizabeth Ford, 46, of Blue Ridge, Georgia, was sentenced by U.S. District Judge Richard W. Story to two years in prison, to be followed by three years of supervised release. Ford has also been ordered to pay $1,274,907.36 in restitution.
The case was investigated by the Federal Bureau of Investigation.
For further information please contact the U.S. Attorney’s Public Affairs Office at USAGAN.PressEmails@usdoj.gov or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Charge:
18 U.S.C. 1343.F FRAUD BY WIRE, RADIO, OR TELEVISION
(1)
Outcome: 03/18/2019 17 CONSENT PRELIMINARY ORDER OF FORFEITURE as to Jeanette Elizabeth Ford. Signed by Judge Richard W. Story on 03/18/2019. (rsg) (Entered: 03/18/2019)
03/18/2019 Document 18 is sealed. (rsg) (Entered: 03/18/2019)
03/18/2019 ORAL MOTION for a 1-level and 2-level Downward Variance by USA as to Jeanette Elizabeth Ford. (dgr) (Entered: 03/19/2019)
03/18/2019 ORAL MOTION to File the Sentencing Memorandum under Seal by Jeanette Elizabeth Ford. (dgr) (Entered: 03/19/2019)
03/18/2019 19 Minute Entry for proceedings held before Judge Richard W. Story: Sentencing hearing held as to Jeanette Elizabeth Ford. Counsel for the Government Moved for and the Court GRANTED a 1- level downward variance. Counsel for the Government also moved for and the Court GRANTED a 2- level downward variance. Sentence: 24 Months CBOP; 3 Years Supervised Release; $100.00 Special Assessment; Restitution $1,274,907.36; 100 Hours Community Service; Fine Waived. At the request of defendant's counsel, the Court will recommend FCl/Danbury, CT as a designation for service of sentence and for defendant to participate in RDAP. The Government presented to the Court a Consent Order of Forfeiture as to property located at 60 Ford Road and 62 Ford Road in Blue Ridge, Georgia. The Forfeiture will be incorporated by reference in the J&C. Defendant will be allowed to voluntarily surrender. Right of Appeal explained. No objections to the sentence imposed. Defendant moved for the Court to allow her Sentencing Memorandum to be filed under seal. The Court ORDERED for the Transcript of today's hearing and for the Sentencing Memorandum to be filed under seal. (Court Reporter Amanda Lohnaas) (dgr) (Entered: 03/19/2019)
03/18/2019 20 JUDGMENT AND COMMITMENT with Forfeiture Provision as to Jeanette Elizabeth Ford (1), Count(s) 1, CBOP 24 MONTHS; 3 YEARS SUPERVISED RELEASE; SPECIAL ASSESSMENT $100; RESTITUTION IN THE AMOUNT OF $1,274,907.36. SPECIAL CONDITIONS OF SUPERVISION: 100 HOURS of Community Service. Signed by Judge Richard W. Story on 3/18/2019. --Please refer to http://www.ca11.uscourts.gov to obtain an appeals jurisdiction checklist-- (dgr) (Entered: 03/19/2019)
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