Columbus, Ohio Man Sentenced to 63 Months for Defrauding Employer of Over $4 Million

David Hudson, 56, of Columbus, Ohio, was sentenced yesterday by Judge Arthur J. Tarnow to sixty-three months in prison for defrauding his employer of over $4 Million, announced United States Attorney Dawn N. Ison.

Hudson was an employee of Cummins Bridgeway, LLC (“CBL”) and Cummins Inc. (“Cummins”), two companies operating in New Hudson, Michigan. Hudson worked for CBL from approximately 2003 through 2014, until it was acquired by Cummins. Post-acquisition, Hudson was employed by Cummins.

The owners of CBL established two entities to which CBL profits were paid for the purpose of sharing profits with CBL management and employees. While working at CBL, Hudson’s job involved transferring funds to these profit-sharing entities in the normal course of business. As part of his job, Hudson had authority to write checks from the profit-sharing entities. As part of the scheme to defraud, Hudson would, under false pretenses, direct an employee under his supervision to transfer CBL funds—and later Cummins funds—into one or more of the profit-sharing entities. Hudson would then, without authorization, write checks from the profit-sharing entities to himself. It was the goal of this scheme that Hudson would take advantage of his authority and position to enrich himself at the expense of his employers.

Between approximately 2008 and 2017, Hudson’s scheme resulted in the fraudulent transfer of over $4.5 million dollars. This money was spent by Hudson to support a lavish lifestyle. For example, Hudson used stolen funds to purchase a Cadillac, designer clothing, luxury watches, cigars, and rare wines.

Ison was joined in the announcement by Josh Hauxhurst, Acting Special Agent in Charge of the Detroit Field Office of the Federal Bureau of Investigation.

This case was investigated by special agents of the Federal Bureau of Investigation and prosecuted by Assistant United States Attorney Timothy Wyse.