New Prague Man Sentenced for Embezzling Funds from an Employee Benefit Plan
| U.S. Attorney’s Office September 08, 2011 |
MINNEAPOLIS—Earlier today in federal court in St. Paul, a 63-year-old New Prague man was sentenced for embezzling approximately $642,166.81 from his company’s employee benefit plan between 2008 and 2009. United States District Court Judge Paul A. Magnuson sentenced Delroy Joseph Sand, Jr., to 41 months in prison on one count of theft from an employee benefit plan. Sand was indicted on November 17, 2010, and pleaded guilty on March 24, 2011.
In his plea agreement, Sand admitted that during 2008 and 2009, he took the money from the plan for his own use. From February of 2008 through September of 2009, Sand was the trustee for the employees’ retirement savings plan at Hecla, Inc., a business that provides adult foster care as well as group home and mental health services in Minnesota.
This case was the result of an investigation by the U.S. Department of Labor - Employee Benefits Security Administration, with assistance from the Federal Bureau of Investigation and the U.S. Department of Housing and Urban Development - Office of Inspector General. It was prosecuted by Assistant U.S. Attorney William J. Otteson.