Koss Boss Admits to Blowing Laundered Money on Big-Money Laundry
In the age of Bernie Madoff and smoke-and-mirrors balance sheets, the last thing anyone wants to hear about is another potential fraud scandal from a big shot exec. But that seems to be exactly the case with one high-roller at Koss Corporation, one of the market's top headphone makers.According to DailyTech, Sujata Sachdeva, vice president of finance at Koss, has been arrested and charged with wire fraud, after authorities suspected her of embezzling more than $4.5 million from the company. Sachdeva reportedly used much of the money to purchase luxury items, and was ballsy enough to often leave her price-tagged clothes casually strewn about her office. When confronted by authorities, Sachdeva confessed, saying she covered up her two years of embezzlement by falsifying company financial statements. NASDAQ, after catching wind of the scandal, promptly froze Koss's shares on Monday, pending further information.
We know. It's not exactly the feel-good note you'd want to end the year on. But then again, considering all the other stuff that went down this year, it might be fitting to go out on this kind of cadenza. Besides, if you're sick of this kind of news, you could always just put on some Koss headphones and wait for 2010 from the blissful isolation of your very own sound cocoon. [From: DailyTech]
Reader Comments (Page 1 of 1)
Paul said 12:05AM on 12-29-2009
This articles' author chose a title rhyming "Koss" with "boss" implying that this woman manages or otherwise is the top person within this corporation. That is not accurate. The accused, Sachdeva, was the VP of Finance, not the company president or CEO. It is the CEO who brought in the feds within 24 hours of having discovered the scheme. The only subterfuge was originated at the VP Finance level.
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