by Mike Masnick
Mon, Dec 22nd 2008 6:04pm
Silicon Valley folks certainly know Fry's -- the electronics superstore that's probably as well known for its poor customer service as its vast selection. However, apparently a top exec at the company, who had worked his way up over the course of 20 years from a starting job as a floor sales guy has now been arrested for a massive fraud, creating kickbacks from vendors and potentially defrauding the company of over $65 million -- much of it used to pay off gambling debts (apparently he still owes a lot more -- potentially another $100 million from the sound of it) incurred by frequently taking the Fry's corporate jet to Vegas. The guy basically set up a separate front company that he funneled millions of dollars to in the form of exorbitant commissions and kickbacks from vendors. Apparently, while Fry's makes you go to hell and back to justify returning a computer component, its own internal auditing process missed $65 million going out the door.
If you liked this post, you may also be interested in...
- Bankruptcy Fight May Be The Least Of Team Prenda's Concerns, As The FBI Comes Knocking
- Cartoonist Who Claimed 'Kung Fu Panda' Ripped Off His Work Might Be Headed To Prison
- After Even His Own Lawyer Admits Prenda's Paul Hansmeier Is A 'Bad Actor,' Bankruptcy Court Liquidates His Assets
- DEA Seized $262k From Sexting Extortioners And Now The Oldest Private College In West Virginia Wants Its Money Back
- Large-Scale Peer-Review Fraud Leads To Retraction Of 64 Scientific Papers