Inside Job
CEOs are supposed to lead companies, manage people, and above all, set a good example, but what happens when none of that happens or even worse. Well, one company found out the hard way when their CEO stole from the company. That’s right, CEO, Donna Steele of a German saw-blade manufacturer has pleaded guilty to robbing $15 million from the company to fund another brand she ran on the side. To make the matter worse, the theft means were clear as day as she paid herself with company checks and credit cards. In total, over $350,000 was used to run the side-hustle luxury clothing and furniture business.
This wasn’t the first time Steele had faced accusations of embezzlement. Back in the 1990s, she pleaded guilty to stealing half a million dollars from a family company where she worked. She served nearly a year in state prison and had to pay the money back. I guess some people never learn! Ultimately, although a lot clumsier and less sophisticated, the incident has repeated on higher levels, involving actual companies trading public. One example is Enron, one of the largest energy companies whose fall from grace left a legacy of what not to do. Enron had specifically hidden massive losses they’d taken from derivative trades, leading to one of the largest accounting scandals and bankruptcy in recent history. Even today, markets remain rife with scams, rug pools, and more, making it more critical than ever to stay updated with the news and educated about investment decisions. To do so, make sure to continue to visit, tune in to Invstr Crunch, and check out Invstr Academy as well.
I am not a financial advisor and my comments should never be taken as financial advice. Investments come with risk, so always do your research and analysis beforehand.
