Ontario’s Serious Fraud Office (SFO) has charged two Sudbury area residents following a fraud investigation.
A small engine manufacturing, exporting and service business discovered a series of financial irregularities over a number of years that resulted in losses totalling more than one million dollars. Allegations of funds having been embezzled from the company were brought to members of the Greater Sudbury Police Service (GSPS) who, in November 2019, engaged the Serious Fraud Office.
Following a six-month investigation, two Wahnipitae residents have been charged with several offences contrary to the Criminal Code of Canada as follows:
Karen CADY, aged 47 years, is charged with:
- Fraud Over $5000 – s380 (1)(a);
- Laundering Proceeds of Crime – s462.31 (1)(a);
- Possession of Property Obtained by Crime – s354 (1)(a);
- Failing to Comply with Probation Order – s733.1 (1); and
- Forgery – s368(1)(d).
Michael CADY, aged 43 years, is charged with:
- Laundering Proceeds of Crime – s462.31 (1)(a); and,
- Possession of Property Obtained by Crime – s354 (1)(a).
The accused are expected to appear at the Ontario Court of Justice in Sudbury on July 8, 2020.
As part of the investigation, various financial and property assets – including a residential home, a travel trailer, a pontoon boat, personal watercraft, a backhoe, three vehicles and $2,400 in Canadian currency – have been restrained as proceeds of crime.
The Serious Fraud Office will not comment further in order to protect the integrity of the investigation and any ensuing court processes. The SFO acknowledges the important contributions made by members of the Greater Sudbury Police Service, OPP Sudbury Detachment, the OPP North East Region Emergency Response Team (ERT) and the Provincial Asset Forfeiture Unit.
DID YOU KNOW
Ontario’s Serious Fraud Office (SFO) is a multi-disciplinary team of uniform and civilian subject matter experts who investigate and prosecute serious fraud and complex financial crimes. The SFO has dedicated staff with representation from Ministry of the Attorney General (MAG), Ontario Provincial Police and partners with municipal police services in Ontario.
Serious fraud is defined as a fraud that has significant impact on society and/or significant financial loss in totality. Serious frauds can incorporate corruption, collusion, multiple jurisdictions and/or elements of organized crime. The consequences have serious impacts on victims (seniors, marginalized individuals, and youth) and erode public confidence in democratic processes, government integrity and financial sector stability.