Members of the Rhode Island State Police Financial Crimes Unit arrested a former employee of United States Associates, LLC for the alleged embezzlement of over $142,000 in company funds. United States Associates, LLC is a contract manufacturing company located in Providence that specializes in the production of metals, insignias, tools and badges.
On April 6, 2015, Paul F. Roderick, age 44, of 76 Red Chimney Drive, Warwick, Rhode Island, was arrested and charged with Embezzlement Over $100.00.
An investigation by the Rhode Island State Police Financial Crimes Unit originated from a complaint filed by the President of United States Associates, LLC alleging that Roderick was stealing and selling company inventory and keeping the proceeds for himself. The investigation revealed that Roderick would direct inventory production levels of certain products and would initiate shipments to clients. During a review of inventory levels, a managing partner of the company discovered that the company was producing a certain level of inventory, but only shipping a portion of the product. After reviewing the company's shipping reports, it was discovered that many shipments to one of the company's customers were not invoiced.
Detectives interviewed the customer, who was receiving the shipments and learned that the company had been ordering directly from Mr. Roderick and remitting payments to him at his personal address.
A court-authorized search warrant was subsequently executed for Mr. Roderick's personal bank account. A review of those documents revealed that eighty-eight (88) checks totaling $142,114.31 from that customer had been deposited into Mr. Roderick's personal account and had not been remitted to United States Associates, LLC. All of the checks were for payment of the product that was manufactured by United States Associates, LLC and never invoiced.
Roderick was arraigned at Sixth Division District Court, Garrahy Judicial Complex, One Dorrance Plaza, Providence, Rhode Island before The Honorable Judge Stephen M. Isherwood on the charge of Embezzlement Over $100.00 He was released on $5,000 personal recognizance.
The penalty for a person convicted of Embezzlement over $100.00 is imprisonment for not more than twenty (20) years or a fine of not more than fifty thousand dollars ($50,000) or three times (3) the value of the money embezzled, or both.