Former NonProfit CEO in Indiana Gets Prison Time; Here's Why
Former NonProfit CEO in Indiana Sentenced to Almost Three Years in Prison
INDIANAPOLIS–A former nonprofit CEO in Indianapolis has been sentenced to almost three years in federal prison after pleading guilty to wire fraud.
The Department of Justice said Monday afternoon that 58-year-old Theresa Szwast of Fishers also has to pay back more than $2 million in restitution.
Court documents say Szwast “systematically embezzled more than $2 million from her employer, a non-profit insurance statistical agent based in Indianapolis, over the course of 17 years.” Szwast was the organization’s CEO from 2008 to 2022.
Investigators say Szwast diverted company funds to pay for personal expenses such as credit card bills, golf equipment, wine, and luxury travel. Part of that also included an 11-day stay at the Four Seasons in Hawaii.
“She carried out the scheme through 13 fraudulent wire transfers to herself, averaging more than $33,000 per transaction and reaching as high as $66,000 in a single transfer. She also wrote 219 checks to herself. This theft occurred despite her annual salary of approximately $188,000,” the Department of Justice said in a news release.
Szwast oversaw the company’s annual audits conducted by a Certified Public Accounting firm. In 2008, she began falsifying audit reports using the firm’s letterhead and forged a CPA’s signature. Investigators say she also presented the fabricated financial statements to the Board of Directors to hide her theft.
“Theresa Szwast’s conduct was not only criminal, but it was also profoundly greedy and selfish. She betrayed the trust placed in her and created an illusion of stability for investors. Her deception forced dedicated employees to reconstruct accurate records and restore funds, disrupting their work on the core mission, all while enjoying her own lavish lifestyle,” said Tom Wheeler, United States Attorney for the Southern District of Indiana. “This sentence reflects the seriousness of her crimes and the lasting harm she inflicted, showing once again that those who abuse positions of trust for personal gain will be held accountable.”
“Diverting funds for personal luxuries is a serious abuse of trust. The defendant chose to take funds meant to support the organization and use it for her own benefit,” said FBI Indianapolis Special Agent in Charge Timothy J. O’Malley. “The FBI will continue to investigate and disrupt financial fraud schemes and hold accountable those who misuse their positions.”
Szwast also has to go through two years of supervised release and pay a $5,000 fine.
