Enfield Woman Pleads Guilty to Embezzling Huge Sum from Employer

ENFIELD, CT - An Enfield woman pleaded guilty in federal court Thursday to embezzling more than $800,000 from a credit union for which she worked.

Pamela Mallory, 42, waived her right to indictment and pleaded guilty to one count of embezzlement by a credit union employee, a charge that carries a maximum term of imprisonment of 30 years, according to a statement released by Deirdre M. Daly, United States Attorney for the District of Connecticut, and Patricia M. Ferrick, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation.

She was released on a $100,000 bond, and is scheduled to be sentenced Aug. 17.

According to court documents and statements made in court, Mallory was employed as the lending manager of Windsor Locks-based 360 Federal Credit Union. In her position, she had access to loan files and authorized loans, including home equity lines of credit (“HELOCs”). From 2009 through 2016, she opened five different HELOCs in the name of a credit union member and increased the credit limit of those HELOCs on at least 15 occasions, all without the knowledge or consent of the credit union member, the statement said.

Initially, Mallory perpetrated this scheme by opening subsequent HELOCs to pay off earlier, smaller HELOCs. Later in the scheme, rather than opening new HELOCs, she simply increased the credit limits on two of the fraudulent HELOCs to support her spending, according to the statement.

In order to evade detection, Mallory made minimum, interest-only payments on the HELOCs from her own checking account. When 360 Federal Credit Union discovered the scheme in Jan. 2016, the credit union member’s property, which is worth less than $150,000, supported two HELOCs, each with credit limits of $417,000, that Mallory had fully drawn down, the statement said.

In total, Mallory stole approximately $840,378.28 from 360 Federal Credit Union and used the proceeds of the scheme to pay her own creditors.