Banker Arrested for Embezzlement Appears in Court for Hearing

A banker who disappeared in 2012 was arrested at the end of December on embezzlement charges for defrauding investors of more than $21 million. He made his first court appearance on Thursday, January 2nd, 2014.

Lee Price, 47 from Lyons, GA, was arrested on Tuesday, December 31st, 2013. He was originally pulled over for a window tint violation in Glynn County. Price was originally held by police for federal authorities on charges of giving a false name, address, or birthdate to a law enforcement officer.

According to FBI reports, his family originally reported him missing on June 18th, 2012. A warrant for his arrest was issued on June 28th, 2012, as police believed he fled due to impending embezzlement charges. A federal court officially indicted him on July 11th, 2012.

According to the US Attorney’s Office for the Southern District of Georgia, Price invested $10 million in the failing Montgomery Bank and Trust. He was then made a director of the bank, and during an 18 month period, he embezzled more than $21 million, and defrauded other MB&T officials with false account statements. He used a “clearing firm” – a dummy company set up to hide money – in New York to cover up the fraudulent wire transfers and convince investors that their money was safe.

“The complaint alleges that, instead of investing the money as promised, Price fraudulently wired the bank’s funds to accounts that he personally controlled at other financial institutions and provided bank management with altered documents to make it appear as if he had invested the bank’s money in (U.S.) Treasury securities,” the U.S. attorney’s office for eastern New York said then.

Price indicated to friends just before he disappeared that he had lost a huge sum of money in a bad investment, and planned to kill himself in Florida. However, he was later spotted alive in Key West. He owned properties in Venezuela and Guatemala, sending the FBI on a year-long manhunt.

On Thursday, January 2nd, Price made his first court appearance on one federal embezzlement charge. He said nothing himself, but his attorney said that Price had had a hard year and a half, living much of it on the streets.

Federal Embezzlement Charges in South Carolina

Embezzlement charges carry severe penalties. The defendant risks ruining his reputation and loss of employment even if they are later found not guilty of the crime. Punishments for those convicted of embezzlement can include fines, imprisonment, probation, payment of compensation and loss of legal rights among other potential punishments.

For an individual to be convicted of embezzlement, the prosecution must prove:

1.     The defendant manipulated resources illegally

2.     The victim entrusted the defendant with these

3.     resources that were allegedly embezzled

4.     The defendant intended to deprive the owner of

5.     these resources

6.     The defendant acquired access to these resources

7.     through his/her employment

The Strom Law Firm Can Help with Embezzlement and Other Federal Charges

If you or someone you know is facing embezzlement charges, contact our office today to get the help of an experienced federal criminal defense attorney who can review your case and determine your best course of action. We offer free, confidential consultations, so do not hesitate to contact us. 803.252.4800.