Embezzlement is a flashy term that is used by prosecutors across the country to describe a type of theft, or what the law refers to as larceny. In fact, in New York embezzlement is a type of larceny. Thus those accused of embezzlement will be charged under one of the New York Penal Law’s larceny statutes. The actual act of embezzlement has been defined by New York’s highest court as:

Conversion by the embezzler of property belonging to another which has been entrusted to the embezzler to hold on behalf of the owner

[1]

Simply put, embezzlement occurs when an individual, usually an employee of a business, is trusted to manage the funds of their employer, and they take those funds, using them as their own. However, embezzlement can occur with any type of property, not just money, and can occur anytime someone is trusted with the property of another. Occasionally an individual accused of embezzlement mistakenly believed that the property in question was given to them by the owner, none the less the individual ends up the target of an embezzlement investigation. In that situation an experienced attorney may be able to assert a “claim of right defense”, in other words, the accused individual took the property under an honest belief that they had a right to it.

The severity of the embezzlement is determined by the value of the property embezzled. Every level of embezzlement is very serious, accompanied by lengthy prison sentences and severe fines. The least severe level of embezzlement is petit larceny (PL 155.25) which is a class “A” misdemeanor. Petit larceny is charged when the value of the property embezzled is $1,000 or less. Grand larceny in the 4th degree (PL 155.30) is an “E” felony, and is charged when the value of the property embezzled exceeds $1,000. Grand larceny in the 3rd degree (PL 155.35) is a “D” felony, and is charged when the value of the property embezzled exceeds $3,000. Grand larceny in the 2nd degree (PL 155.40) is a “C” felony, and is charged when the value of the property embezzled exceeds $50,000. Grand larceny in the 1st degree (PL 155.42) is a “B” felony, and is charged when the value of the property embezzled exceeds $1,000,000.[2]

Compared to other white collar crimes, the penalties associated with embezzlement can be severe. Petit larceny is punishable by either one (1) year in jail or three (3) years of probation, and with a fine of $1,000. Grand larceny 4th degree is punishable by either up to four (4) years in prison or five (5) years of probation, and with a $5,000 fine. Grand larceny 3rd degree is punishable by either up to seven (7) years in prison or (5) years of probation, and with a fine of $5,000. Grand larceny 2nd degree is punishable by either up to fifteen (15) years in prison or five (5) years of probation, and with a fine of $5,000. Grand larceny 1st degree carries a mandatory prison sentence of up to twenty-five (25) years, and a $5,000 fine.[3]

It should be noted that in addition to embezzlement, many other acts fall into the category of larceny and can subject an individual to the possible punishments listed above. In other words larceny is defined as follows, and embezzlement fits within that definition:

A person steals property and commits larceny when, with intent to deprive another of property or to appropriate the same to himself or to a third person, he wrongfully takes, obtains or withholds such property from an owner thereof.”[4]

Petit Larceny (PL 155.25) in Rochester

“A person is guilty of petit larceny when he steals property”

Grand Larceny 4th Degree (PL 155.30) in Rochester

“A person is guilty of grand larceny in the fourth degree when he steals property and when:

  1. The value of the property exceeds one thousand dollars; or
  2. The property consists of a public record, writing or instrument kept, filed or deposited according to law with or in the keeping of any public office or public servant”

Grand Larceny 3rd Degree (PL 155.35) in Rochester

“A person is guilty of grand larceny in the third degree when he or she steals property and:

  1. when the value of the property exceeds three thousand dollars, or
  2. the property is an automated teller machine or the contents of an automated teller machine”

Grand Larceny 2nd Degree (PL 155.40) in Rochester

“A person is guilty of grand larceny in the second degree when he steals property and when:

  1. The value of the property exceeds fifty thousand dollars; or
  2. The property, regardless of its nature and value, is obtained by extortion committed by instilling in the victim a fear that the actor or another person will (a) cause physical injury to some person in the future, or (b) cause damage to property, or (c) use or abuse his position as a public servant by engaging in conduct within or related to his official duties, or by failing or refusing to perform an official duty, in such manner as to affect some person adversely”

Grand Larceny 1st Degree (PL 155.42) in Rochester

“A person is guilty of grand larceny in the first degree when he steals property and when the value of the property exceeds one million dollars”

Conclusion

A conviction for embezzlement or other variation of larceny in Rochester has the potential to ruin an individual’s life by leaving them a convicted felon, in prison, and with very little ability to earn a living afterward. The reality is that the government devotes vast resources to these types of investigations, and as a result those targeted face an uphill battle. An experienced criminal defense attorney willing to question the government’s evidence, pursue any and all available defenses, and to fight for a favorable outcome, can make all the difference.

[1] People v. Yannet, 49 N.Y.2d 296, 301 (1980)
[2] New York Penal Law Article 155
[3] New York Penal Law Title E
[4] New York Penal Law Section 155.05