Is Embezzlement a Felony?

Embezzlement is a felony charge when the property embezzled is worth at least $1,000. A felony conviction on your record can negatively impact your reputation and future opportunities. Additionally, a felony embezzlement conviction can result in several years in prison and thousands of dollars in fines. The best way to avoid a felony embezzlement conviction is by talking to an experienced attorney to defend your rights.

A member of our team can review the details of your case and advise you on what to do next. Contact Smith & Holder, PLLC, today to schedule a free initial consultation with an embezzlement attorney. Our team looks forward to working with you.

When Is Embezzlement a Felony?

Embezzlement occurs when someone fraudulently conceals, secretes, or converts to their own use any goods, rights of action, money, or other property they were entrusted with by virtue of their office, position, place, or employment.

Embezzlement is considered a felony when the property embezzled is worth more than $1,000. Otherwise, embezzlement is considered a misdemeanor. 

Penalties for Felony Embezzlement

Embezzlement penalties increase as the value of the embezzled property increases. In Mississippi, embezzlement of property worth between $1,000 and $5,000 carries a maximum sentence of five years in prison and $5,000 fine. Embezzlement of property worth between $5,000 and $25,000 carries a maximum sentence of 10 years in prison and a $25,000 fine. Embezzling property valued at more than $25,000 carries a maximum sentence of 20 years in prison and a $25,000 fine.

Federal Embezzlement Charges

Federal law prohibits embezzlement. Embezzlement is defined as a person fraudulently taking property that was legally entrusted to them with the intent to deprive the rightful owner of its use. The difference between embezzlement and theft is that embezzled property is lawfully controlled by the accused until they misappropriate it for their own use. The elements the prosecution needs to prove an embezzlement charge are listed below:

• A trust or fiduciary relationship existed between the accused and the rightful owner of the property;
• The U.S. government owns or has an interest in the embezzled property;
• The accused took possession or care of the property by virtue of their employment;
• The accused fraudulently converted or appropriated the property for their own use; and
• They intended to deprive the rightful owner of the use of the property.

The intent to deprive the rightful owner permanently is not required. Therefore, someone can still face embezzlement charges if they return the property after the fact.

Potential Embezzlement Sentence in a Federal Case

A federal embezzlement conviction is punishable by a fine of up to $10,000 and up to 10 years in prison. A federal embezzlement charge is a misdemeanor if the value of the embezzled property does not exceed $1,000.

An embezzlement conviction can also impact your overall trustworthiness. Embezzlement is considered a “crime of dishonesty”. Having a crime of dishonesty conviction on your record allows prosecutors to present unfavorable information about your prior conviction during future criminal proceedings. The prosecutor can use a prior embezzlement conviction to attack your credibility on the stand.

A felony conviction can create other hurdles when seeking a new job, applying for scholarships, or traveling out of the country. Reach out to an attorney to discuss ways to minimize these consequences.

Reducing Felony Embezzlement to a Misdemeanor

The primary factor that makes embezzlement a felony instead of a misdemeanor is the value of the embezzled property. In some cases, an attorney can present proof that the market value of the embezzled property is below $1,000 and your charge should be considered a misdemeanor. 

We can also present a legal strategy to negate proof of an element of the embezzlement charge. Valid defenses to embezzlement include:

• You had permission to use the property as your own;
• The rightful owner abandoned the property before you took possession;
• There was a lack of intent to deprive the rightful owner of the property; or
• You had a good-faith belief that you were entitled to the property you appropriated.

The prosecutor bears the burden of proving every element of an embezzlement charge beyond a reasonable doubt. If we can demonstrate a reasonable doubt as to one or more elements, the prosecution may agree to reduce a felony embezzlement charge to a misdemeanor.

How Much Embezzlement Is a Felony? Contact a Lawyer Today to Find Out

An attorney at Smith & Holder, PLLC, can help whether you are facing embezzlement charges in state or federal court. Our attorneys are aggressive, strategic advocates who fight tirelessly to protect our clients from convictions. As a former prosecutor, Attorney Chris Smith knows the strategies prosecutors use to secure embezzlement convictions. Our team will thoroughly investigate the circumstances that led to your charges and determine the best strategy to fight the accusations.

Contact an attorney at Smith & Holder, PLLC, so we can start reviewing your case.