Need Extra Cash? Work for the D.C. Government

The lesson from the news this week is that if you want to embezzle money without anyone taking notice, work for the Washington, D.C. government. The headlines, of course, have belonged to the two D.C. tax office employees who embezzled $20 million by issuing fake tax refund checks. What did they do with all that money? Nothing particularly creative—they bought the typical furs, expensive purses, jewelry and cars that must be fashionable in the embezzler social circle these days.

The Washington Post follows up today with a disheartening story about vanishing school activity funds in D.C. public schools—read the story if you can stomach it. Apparently, no one is accurately keeping track of this money, making it all too easy for employees to deposit checks into their own bank accounts instead of schools’. According to the U.S. attorney’s office, “poor record keeping and the absence of internal controls at D.C. schools often make it difficult to prosecute thieves”. The story details one tale after another of ‘lost’ activity funds—grant money, personal donations, even student dues that just disappear.

Appropriately enough, this weekend $800,000 of purses, furs and electronics purchased by the ex-teacher’s union leader Barbara Bullock will be up for sale on EBay in an attempt to recoup some of the over $4 million she embezzled from the union. Too bad these folks don’t have better taste.