The Case of the Chemical Plant Extortion Saint

Payroll Raised Fraud

John Rhem, one of our Corporate Attorney clients, asked Gradoni & Associates to look into allegations from employees of a chemical plant that their Supervisor had extorted money from them in return for favorable reviews so the employees could receive pay raises.

J.J. Hits The Ground Running

Chief Investigator J.J. Gradoni spent two days at the chemical plant, interviewing a number of employees who provided Affidavits, documenting that their Supervisor had required them to pay him money to recommend their name to Management for pay raises.

Investigation Reveals Theft, Quid Pro Quo, & Extortion

In addition to straight cash payments, the Supervisor told the employees that they had to purchase items from him that he either had manufactured on the side with materials stolen from the chemical plant or for promotional items he had received from vendors.

Each of the employees who supplied Affidavits were able to produce a paper trail documenting their purchase of these items. The Supervisor did not receive his compensation from the employee until their raise had actually been approved and had been initiated.

The Supervisor, a 20 year veteran employee of the Company, admitted in his interview with J.J. Gradoni that he was taking the money, not because of coercion or extortion, but because the employees had insisted he take it, out of gratitude for all the things he had done for them over the years.

A Loyal & Honest Employee

As the result of the investigation the Supervisor himself received a raise – a personal escort out the door. A short time later, the Supervisor sent an email to J.J. Gradoni, thanking him for “ruining his life”. As always, J.J. Gradoni was glad to accommodate such a fine example of a “loyal and honest employee”. This just shows that people who steal usually never accept the responsibility for their actions.

Return to the March 2015 Investigator’s Newsletter

The Case of the Chemical Plant Extortion Saint