Ex-Koss executive pleads guilty to fraud, agrees to SEC judgment

Earlier this month, the former executive of Koss Corp., a company based in Milwaukee that designs and manufactures headphones, agreed to a proposed judgment filed by the Securities and Exchange Commission. The woman was sentenced in November for white collar crime she had pleaded guilty to. The proposed judgment has been filed to prevent the woman from violating SEC regulations in the future. By agreeing to the judgment, the former executive will never be able to serve as an officer or board member for a public company again.
The woman was arrested in 2009 after she was suspected of embezzling $34 million from Koss. According to reports, this was the largest embezzlement case in the United States during 2009, and the largest case in the last 25 years in the Eastern District of Wisconsin. The executive was accused of transferring money and for executives with DUI from the company into her personal accounts. After the transfers, she would then adjust Koss’ earnings to reflect a lower dollar amount. A divorce attorney in Bethesda¬†understands how to handle these types of cases.

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