Man Indicted In Berlin $1 Million Embezzlement Scheme: Feds

BERLIN, CT — A Maine man who was employed by a Berlin company has been charged with fraud and tax crimes stemming from a $1 million embezzlement scheme, according to a statement from prosecutors. Edward Ziegler II, 63, of Bridgton, was charged in a 27-count indictment.

He was arrested in Maine on March 16. He pleaded not guilty Monday and was released on $100,000 bond.

According to prosecutors, Ziegler was an office manager for a small business based in Berlin for 25 years. Ziegler opened an account in his name with with the qualifying language “Doing Business As [Company A],” referring to the Berlin company.

Over the course of several years, Ziegler sent invoices to the business’s customers through both the U.S. Mail and email, received checks from the customers for services provided, and deposited checks into the secret bank account he had established, according to prosecutors.

Ziegler also made fraudulent entries in the company's books and record keeping system to cover up the fact that he had diverted the checks and used the funds for his own benefit.

Ziegler caused more than 400 checks totaling more than $1 million to be deposited into his secret account through this scheme, according to prosecutors. Ziegler also failed to pay $173,643 in federal income taxes on his embezzled income for the 2015 through 2019 tax years.

The indictment charges Ziegler with 22 counts of wire fraud affecting a financial institution, which carries a maximum term of imprisonment of 30 years on each count, and five counts of tax evasion, which carries a maximum term of imprisonment of five years on each count.