Molokai Resident Pleads Guilty to Embezzlement
|U.S. Attorney’s Office October 23, 2009|
HONOLULU, HI—Daniel K. Mahiai, 32, a Molokai resident, pleaded guilty in United States District Court yesterday to embezzling money from the Molokai Community Federal Credit Union (FCU). Mahiai, who worked as a teller at the FCU from August 2004 through February 4, 2008, faces a maximum term of 30 years’ imprisonment and a fine of up to $1 million when he is sentenced on February 16, 2010, by United States District Judge David A. Ezra.
United States Attorney Florence T. Nakakuni said that according to information produced in court, between January 2005 and February 2008, Mahiai took a total of $218,293.68 from the credit union by removing it from his teller’s drawer, replacing $55,982 before his acts were discovered. In order to hide his conduct, Mahiai made false entries in various FCU accounts to make it appear that account holders had made withdrawals. Mahiai then placed some of the accounts in “no mail” status, which prevented the credit union from sending the members statements reflecting the withdrawals. When account holders conducted transactions, Mahiai made entries reflecting deposits in the amounts taken, which falsely inflated the balances.
The case was investigated by the Federal Bureau of Investigation, Maui resident agency, and is being prosecuted by Assistant United States Attorney Larry Tong.