Executive Embezzled $3.4M From Family-Owned Business In Westchester

ARMONK, NY — A Pennsylvania man has admitted to stealing millions of dollars from the Westchester company that helped launch his career.

Damian Williams, the U.S. Attorney for the Southern District of New York, announced that 34-year-old John Hickey of Feasterville-Trevose, Pennsylvania, the former controller and director of quality assurance for a family-owned business in Armonk, pled guilty to one count of wire fraud in connection with his embezzlement of over $3.4 million from the business.

According to court documents, Hickey was a member of the family that owned the group of victim corporations that manufactured flame retardant fabrics, and held minority ownership interest in some of the corporations.

Hickey began to work at the victim corporations while he was in college and became the director of quality assurance in approximately 2012. He also served as the controller of some of the victim corporations.

From February 2018 to November 2023, Hickey embezzled $3,461,292.69 from the victim corporations. His scheme involved creating false invoices that appeared to be from entities with which the victim corporations did business. Hickey then forged signatures supposedly approving payment of those invoices and caused the victims' accounting system to print checks payable to him in the amount of the invoices. When a check was printed, he changed the payee on the check to match the name on the corresponding false invoice, and used a rubber signature stamp to sign the checks.

Hickey used the money from his scheme to gamble on sporting events, to attend concerts and sporting events, to improve and repair his home and to go on vacations.

He pleaded guilty to one count of wire fraud, which carries a maximum sentence of twenty years in prison.

"John Hickey embezzled over $3.4 million from a family-owned business, exploiting his position of trust for personal gain," Williams said. "Today’s guilty plea holds Hickey accountable for his illegal conduct and demonstrates our unwavering commitment to pursuing justice for victims of fraud."

The U.S. attorney praised the investigative work of the Special Agents of the U.S. Attorney's Office for the Southern District of New York.

This case is being handled by the Office’s White Plains Division, with Assistant United States Attorney James McMahon is in charge of the prosecution.