Hudson Valley Man Bilks Financial Services Firm Out Of $7M

POUGHKEEPSIE, NY — Federal charges have been brought against a Poughkeepsie man who was accused of defrauding a financial firm of millions of dollars.

Preet Bharara, the U.S. attorney for the Southern District of New York, said Wednesday that Christopher Canale, 47, of Poughkeepsie, was charged with wire fraud, bank fraud and aggravated identity theft.

The charges carry maximum sentences and fines of 20 years and $250,000 for wire fraud, 30 years and $1 million for bank fraud and two years and $250,000 or twice the gross gain or loss for the identity theft.

Bharara said Canale took advantage of his position as an accounts payable manager at a global financial services firm and used his employer’s bank accounts as his own.

He said the defendant siphoned off $7 million over a 13-year period to pay for personal expenses, including an outdoor pool, vacations and luxury cars.

According to the allegations unsealed in court:

From 2003 to September 2016, CANALE, a former accounts payable manager at the Firm, abused his position at the Firm to embezzle at least $7 million. CANALE accomplished this fraud by making unauthorized wire transfers and by cashing checks without authorization.

In some instances, CANALE effected the fraud by inputting fake invoices and wire transfer instructions into one of the Firm’s software programs. In other instances, CANALE made checks out to petty cash, forged the name of his former supervisor on those checks, and kept the cash.

CANALE used the Firm’s funds to pay for numerous exorbitant personal expenses, including an outdoor pool, an outdoor sound system, landscaping for his home, and at least one luxury car. CANALE also paid bills for a credit card account and sent approximately $40,000 in wire transfers to another individual.

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