Clarkston Woman Sentenced to 3 Years in Prison for Embezzling Over Three Million Dollars from Former Employer

DETROIT- A Clarkston woman was sentenced to 3 years in federal prison for wire fraud arising out of an embezzlement scheme targeting her former employer, announced United States Attorney Dawn N. Ison.

Joining Ison in the announcement was Special Agent in Charge, Federal Bureau of Investigation, Cheyvoryea Gibson.

Sally Lynn Elmore, 56, pleaded guilty in July 2024 to one count of wire fraud arising from a scheme to defraud her former employer that resulted in over $3 million in losses. In addition to the 3 years' imprisonment, United States District Judge Brandy R. McMillion ordered Elmore to pay $2.2 million in restitution to her victims and to pay a $3.2 million forfeiture money judgment.

According to Court documents, from April 2019 to December 2022, Elmore abused her position of trust and used her access to the payroll and banking systems of her employer to execute a scheme to fraudulently direct electronic payments-in the form of salary, bonuses, and expense reimbursements that she knew she was not entitled to receive-from her employer's bank account to her personal bank accounts. In order to conceal her fraud, Elmore prepared and presented falsified financial statements to her employer's board, representing that the company was still in possession of funds that she had, in fact, fraudulently directed to herself. She also concealed the missing funds from the company's insurer, causing the company to lose coverage for losses from theft. In total, Elmore stole over $3 million and gambled most of it away.

"Elmore violated the trust placed in her as the director of finance and human resources for her company, stealing over three million dollars, nearly driving the company to insolvency, and putting the livelihoods of her fellow employees in jeopardy, stated United States Attorney Ison. "Our office will aggressively prosecute those individuals who abuse their authority to line their own pockets at others' expense."

"Over the course of three years, Ms. Elmore betrayed her employer by exploiting her access to the company's finances, stealing millions of dollars, and covering up her actions through deception," said Cheyvoryea Gibson, Special Agent in Charge of the FBI in Michigan. "The FBI has zero tolerance for fraud against individuals or institutions and will continue to work with our partners at the U.S. Attorney's Office to prosecute those involved in embezzlement schemes. We are committed to ensuring that anyone who abuses their position of trust faces justice."

The case was prosecuted by Assistant United States Attorney Alyse Wu. The investigation was conducted by the Federal Bureau of Investigation.