Being accused of embezzlement is more than just a professional setback—it’s a criminal charge that can carry serious legal, financial, and reputational consequences. Whether the accusation stems from a corporate audit, a business partner’s complaint, or a former employer’s internal investigation, it’s critical to understand what you’re facing and how to protect yourself.
At Simmons Wagner, LLP, we defend individuals throughout Southern California charged with white-collar crimes, including embezzlement. Here’s what you need to know if you’ve been accused or are under investigation.
What Is Embezzlement Under California Law?
In California, embezzlement is defined under Penal Code §503 as the fraudulent appropriation of property by a person to whom it has been entrusted. In simpler terms, it means someone who had legal access to money or assets is accused of misusing or stealing them for personal gain.
Common examples include:
- An employee skimming from a cash register
- A bookkeeper redirecting company funds
- A trustee misusing estate assets
- A business partner misappropriating joint funds
Unlike theft or burglary, embezzlement charges involve a breach of trust, which makes them uniquely serious in the eyes of prosecutors.
Embezzlement Can Be Charged as a Misdemeanor or Felony
The severity of the charge depends primarily on the value of the property involved:
- Less than $950: Usually charged as petty theft (a misdemeanor)
- More than $950: May be charged as grand theft (a felony or misdemeanor)
Felony embezzlement carries penalties of up to three years in state prison, plus restitution and fines. If the case involves multiple victims, elder abuse, or public funds, the consequences can be even more severe.
How Prosecutors Try to Prove Embezzlement
To convict someone of embezzlement, prosecutors must prove four key elements:
- A relationship of trust existed between you and the alleged victim (e.g., employer, client, partner)
- You were entrusted with their property or funds
- You fraudulently took or used that property for your own benefit
- You intended to deprive the rightful owner of it, even temporarily
If intent can’t be proven—or if the facts suggest poor accounting, negligence, or a contractual dispute rather than theft—prosecutors may struggle to meet the burden of proof.
Common Defense Strategies in Embezzlement Cases
Every case is different, but strong defenses may include:
- Lack of intent: Honest mistakes, accounting errors, or misunderstandings are not crimes.
- Authorization: You had permission to use or transfer the funds.
- No fraudulent purpose: There was no intent to permanently deprive the owner.
- Insufficient evidence: The prosecution’s case relies on speculation or circumstantial evidence.
- False accusation: A disgruntled coworker or business partner may be using a criminal allegation to gain leverage in a civil or contractual dispute.
At Simmons Wagner, LLP, we carefully investigate the timeline, financial records, and communications to identify inconsistencies and expose weaknesses in the case.
Early Legal Intervention Makes a Big Difference
If you’re under investigation or have already been charged, do not speak to law enforcement or try to explain the situation without legal representation. Even well-meaning statements can be used against you.
Our team at Simmons Wagner, LLP provides immediate guidance to protect your rights, prevent unnecessary self-incrimination, and begin building a defense tailored to your specific situation.
Get a Former Prosecutor on Your Side
Embezzlement accusations can destroy careers and reputations—but a charge is not a conviction. At Simmons Wagner, LLP, our attorneys include former prosecutors who understand exactly how these cases are built—and how to break them down. We know the pressure you’re facing and how to push back.
Call Simmons Wagner, LLP at (949) 439-5857 today for a confidential consultation. Let us help you fight the charges, protect your name, and move forward.