Sentence Handed Down In Norwalk Embezzlement Case: U.S. Attorney

NORWALK, CT — Mark W. Errico, who pleaded guilty in the spring to federal embezzlement and tax evasion charges, was sentenced Tuesday to 24 months in prison, followed by three years of supervised release, for stealing more than $823,000 from two companies, according to United States Attorney Deirdre M. Daly.

Errico, 64, of Norwalk, work for approximately 20 years for the owner of two unnamed companies in Norwalk, "handling the companies’ finances, including payroll, bank accounts, accounts payable and accounts receivable."

According to Daly and court documents, between February 2011 and March 2014, Errico embezzled approximately $823,476.22 from the two companies.

"Errico transferred stolen funds from the companies’ accounts to pay his personal credit card debts, and also forged the signature of the companies’ owner on company checks and cashed them or made them payable to his own company and deposited them into his company’s business account," according to Daly.

During those tax years, Errico also attempted to evade paying federal taxes on $851,076.22 of unreported income, which resulted in a total tax loss of $265,326.

"As an example, for tax year 2013, Errico filed a federal individual tax return for himself in which he stated his taxable income for 2013 was $31,200," according to Daly. "The tax return failed to report approximately $536,434.50 in money he stole from the two Norwalk companies."

In addition to his sentencing, Errico was also ordered "to pay $649,346.09 in restitution to the two companies from which he stole money, and $265,326 in back taxes, plus penalties and interest, to the IRS."

Errico is currently free on bond and is ordered to report to prison on October 18 of this year.

This matter was investigated by the Internal Revenue Service – Criminal Investigation Division, U.S. Secret Service and Connecticut Financial Crimes Task Force. The case was prosecuted by Assistant U.S. Attorney Peter S. Jongbloed.

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