New York Accounting Execs Charged with Concealing Union Benefit Thefts

An organization hires a certified public accountant as its first line of defense against being sued or ripped off. Salvatore Armao and Karen Auer, respectively, the founder-managing partner and a principal officer of the Garden City (Nassau County), L.I.-based accounting firm Armao LLP, apparently forgot their mission. On June 1, the U.S. Justice Department announced that the pair had been charged in Manhattan federal court with aiding and abetting the embezzlement of over $100,000 from a benefit plan of an unspecified union. Each surrendered to authorities that morning. The actions follow an investigation by the U.S. Labor Department’s Office of Inspector General and Employee Benefits Security Administration, with assistance from the FBI and the Justice Department’s Labor-Management Racketeering Unit.

According to federal prosecutors, Salvatore Armao, 64, a resident of Queens, N.Y., and Karen Auer, 47, a resident of Bethpage, N.Y., had the wrong kind of loyalty to a client. From … Read More ➡