The former CFO of Artificial Cell Technologies, a biotech company in New Haven, Conn., was sentenced to two years in prison for embezzling roughly $1 million from the company, according to the Department of Justice.
The case against ACT's former CFO Thomas Malone dates back to November 2016, when the company's CEO discovered Mr. Malone was overpaying himself. The former CFO was giving himself an annual salary of $660,000, about $379,000 more than he was entitled to receive.
A review of financial records revealed Mr. Malone had been stealing money from the company since 2012. The review showed he had written checks to himself disguised as bonuses, used the company's credit card for personal expenses, and used ACT's funds to make unauthorized donations to other organizations.
Between 2012 and 2016, Mr. Malone embezzled nearly $1 million from ACT. He was arrested on March 1, 2018, and he pleaded guilty in October to four counts of theft from a program involving federal funds.
In addition to the prison term, Mr. Malone was ordered to pay $1 million in restitution.
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