Former Employee of Shinola Pleads Guilty to Fraud Against Her Employer

An ex-employee of the Shinola company pleaded guilty today to devising and executing a scheme to defraud her former employer, announced United States Attorney Matthew Schneider.

According to court records, Judith D. Walker, 41, of Detroit, worked as a quality inspector at Shinola, a Detroit company that produces and sells consumer goods, such as watches, bags, and bicycles.  Walker was responsible for determining whether returned watches could be immediately sent out for sale or whether the watches first needed to be repaired or restrapped.  For over a year, Walker led a scheme to steal and fraudulently sell returned watches.

Walker has admitted to stealing at least 500 watches from her former employer.

As part of her plea agreement, Walker has agreed to be held accountable for $358,413 in restitution.  The plea agreement also provides for an anticipated sentencing guideline range of 21-27 months’ imprisonment.

Walker entered her guilty plea before U.S. District Judge John Corbett O’Meara in Ann Arbor.  Sentencing has been set for May 9, 2018.   

The case is being investigated by the Federal Bureau of Investigation and the Detroit Police Department, and is being prosecuted by Assistant United States Attorney Andrew J. Yahkind.