Damages Attorney for Corporate Embezzlement Recovery

The client was a mid sized corporation operating a digital services and web design business within the Washington DC metropolitan area, employing multiple creative and administrative staff. 

For over a decade, the company entrusted a senior accounting employee with comprehensive authority over corporate bank accounts, corporate credit cards, and routine financial reconciliations. 

Due to the employee’s long tenure and consistent performance history, internal controls relied heavily on personal trust rather than dual authorization safeguards, a factor that later became central to the damages attorney’s legal analysis.

The misconduct came to light when company executives identified an unauthorized transfer of approximately USD 230,000 from a corporate operating account into the employee’s personal bank account. 

When questioned, the employee claimed the transfer resulted from a phishing or smishing incident and asserted that the transaction was accidental and externally induced.

Acting on precautionary advice, the company immediately froze the relevant accounts to prevent additional losses while initiating a comprehensive internal transaction review.

Upon detailed examination of banking records, it became evident that the disputed transfer was not an isolated incident but part of a broader pattern involving nearly fifty separate withdrawals and transfers over an extended period. 

Each transaction was executed through authenticated access tied directly to the employee’s personal mobile device, eliminating the plausibility of third party intrusion. 

Based on these findings, the damages attorney advised pursuing civil recovery for intentional tortious conduct, including conversion and breach of fiduciary duty, alongside criminal referral.

The damages attorney compiled comprehensive financial documentation, including transaction logs, access authentication records, and internal role descriptions, to demonstrate that the employee exercised authorized control over corporate funds solely for company purposes. 

By correlating repeated transfers with exclusive device usage and login credentials, the attorney established intentional misappropriation rather than negligence or mistake. 

This evidentiary framework supported claims for misappropriation of corporate funds, breach of fiduciary duty, and unlawful conversion under District of Columbia common law principles.

Beyond proving misconduct, the damages attorney emphasized the real world financial harm suffered by the corporation as a direct result of the employee’s actions. 

The sudden depletion of operating capital disrupted payroll scheduling, delayed vendor payments, and triggered penalty fees and reputational strain. 

By clearly linking these losses to the unlawful transfers, the attorney substantiated the full scope of compensable damages and reinforced the employee’s obligation to provide complete financial restitution.

Following contested proceedings, the court ruled in favor of the corporate plaintiff, finding that the employee had deliberately abused a position of trust to misappropriate company funds. 

The judgment ordered repayment of the full claimed amount, reflecting the court’s acceptance of the damages attorney’s evidence and legal reasoning. 

The outcome underscores that, under Washington DC law, employees who exploit fiduciary roles for personal gain may face substantial civil liability independent of any criminal consequences.