A Construction Owner, a Multimillion Dollar Fraud

Neil Harrison

• A Young Immigrant Alone on the Streets - And Wrongly Accused
• A Walk in the Park That Turned Into Murder Charges
• International Electronics Firm Loses Millions in Internal Theft
• How a Presumption of Guilt - and a Bad Police Shooting - Nearly Destroyed an Innocent Man's Life
• When Bias Replaces Evidence: How a Rush to Judgment Nearly Cost a Young Man His Freedom

Case Files (more)
A Young Immigrant Alone on the Streets - And Wrongly Accused
A Walk in the Park That Turned Into Murder Charges
International Electronics Firm Loses Millions in Internal Theft

If you own your own business — especially a small or mid-sized operation — this is a story you need to read. As experienced fraud investigators, we've seen countless schemes, but few compare to the scale, betrayal, and personal devastation of this case.

It began with a hardworking construction business owner, a serious injury, and the two people he trusted most: his wife and his foreman.

A Successful Business — Until One Fall Changed Everything

A year before the fraud began, John owned a thriving roofing and demolition company with annual revenues between $3–5 million. His foreman, Jim, managed the crew of four workers. His wife, Jane, handled bookkeeping while also working full time as a secretary for an elected state politician.

Then everything changed.

John slipped and fell off a roof, suffering injuries that kept him off the job for nearly a year. While he attended neuro and physio appointments, Jane and Jim ran the company in his absence.

At least, that's what he believed.

The Business Declines — and the Red Flags Begin

Six months into recovery, John began returning to work part time. He immediately noticed something was wrong. Business had dropped sharply. By the end of the first year, revenue had plummeted to $1.3 million. Jim abruptly left to start his own company.

The second year was even worse: only $700,000 in revenue, delinquent bills, and a mortgage in arrears. Jane was frequently absent, and nothing added up.

When John contacted clients and suppliers, they were shocked — they thought he was still out injured. They had been dealing exclusively with Jim and Jane… and with Jim's new company.

At the bank, John was stonewalled. They "couldn't or wouldn't" give him information. Then he found documents for a second corporate account — in Jane's name only.

Days later, Jane filed for divorce, moved out, and demanded support and the house.

That's when John called an attorney, who told him exactly what he needed:

Hire a private investigator.

Our Investigation Begins

John retained us to investigate his business and finances. With limited access — mostly abandoned records left at his home — we began piecing together the truth.

What we uncovered was staggering.

The Bank Trail

• Two weeks after John's accident, Jane opened a second corporate bank account listing herself as the sole owner.
• She was close friends with bank staff.
• Over $3.2 million had been transferred from John's company into Jane's company.
• Over the next two years, she opened and closed 12 credit cards and 7 bank accounts, all for personal use.
• She paid these accounts using company funds disguised as corporate expenses.
• She falsified federal tax returns to hide the money trail.

The Company Records

• Jane and Jim were signatories on company purchase receipts.
• Jim took $250,000 in unjustified salary payments.
• Multiple payments were made to unknown credit cards.
• Payments were issued to suppliers for jobs that were never recorded or billed.
• Money flowed into children's trust accounts — then out again to unknown destinations.

Interviews Reveal the Full Scope

We interviewed suppliers and discovered that sales volume had remained steady — meaning the business hadn't declined at all. The revenue was simply being diverted.

We interviewed clients who supposedly canceled jobs. They hadn't. They had paid — but their payments were deposited into Jane's second corporate account.

We interviewed John's children. They were unaware of the $400,000 moving in and out of their trust accounts. They also revealed that Jane had gifted them cash, items, and even vehicles.

Further investigation uncovered:

• A $550,000 condominium Jane purchased in a nearby town
• A $425,000 vacation home purchased under her brother's name in another state

Finally, we interviewed Jim. He admitted to having an affair with Jane after John's injury — and to helping her transfer the business from John's company to hers.

The Outcome

When the case went to court, Jim testified against Jane and was not prosecuted. He closed his business and moved out of state.

Jane, however, faced serious consequences:

• Multiple charges: tax fraud, real estate fraud, theft, and perjury
• Termination from her government job
• Forced sale of her homes
• Forfeiture of funds back to the trust accounts and the company

Because of the investigation, John regained control of his business — and his life. He rebuilt the company he founded and returned to the work he loved.

Protect Your Business Before It's Too Late

Fraud doesn't always come from strangers. Sometimes it comes from the people you trust most — employees, partners, even family.

Hiring an experienced investigator can uncover the truth, protect your assets, and give your attorney the evidence needed to hold others accountable.

Call us today for your free consultation.