MINEOLA, N.Y. – Nassau County District Attorney Madeline Singas announced that a Queens man has pleaded guilty today to stealing more than $390,000 from a Port Washington-based cosmetics company.
Seul Han, 32, pleaded guilty before Judge Robert Bogle to Grand Larceny in the Second Degree (a C felony) and Falsifying Business Records in the First Degree (an E felony). The defendant is due back in court June 15 and is expected to be sentenced to one year in jail with five years’ probation and will be ordered to pay restitution.
His co-defendant, Hyun Joon Kim, 46, pleaded guilty to the same charges and was sentenced on March 26, 2018 to six months in jail with five years’ probation and ordered to pay restitution in the amount of $195,097.50.
“These defendants used their place of employment as their personal piggybanks to the tune of more than $390,000,” DA Singas said. “Thanks to the diligence of company officials and the hard work of our prosecutors these scam artists will now be forced to pay back what they stole.”
DA Singas said that while Han was the logistics manager of Kiss Products, Inc., he was responsible for importing items such as nail, eyelash and hair care products. From July 28, 2014, to March 18, 2016, he allegedly stole $390,195.00 from the company by having the company pay for products by check that it never actually ordered or received. The defendant supported the alleged scheme in the company’s record keeping with approximately 100 falsified documents, consisting of invoices, bills, commercial invoices and packing lists.
The checks drawn on the company’s account for these fictitious products were made payable to Keum Sang USA, the principal of which was Hyun Joon Kim, who was in on the alleged scheme and who generated many of the false documents. Kim allegedly deposited the checks given to him by Han into a bank account and then split the proceeds with Han on an approximately 60% (Kim)/40% (Han) basis.
The alleged scheme was uncovered when Han returned from leave with the cosmetics company and allegedly presented his employer with a forged doctor’s note allowing him to return. When he was questioned about this, he resigned. After he left, there were several issues that caused them to review his work, at which time they discovered invoices for fictitious product purchases for which he had been responsible. They then conducted an audit to identify each of these “purchases.” Han and Kim allegedly used the funds for credit card purchases, vacations, airline travel, an automobile lease, computer equipment and various household expenses.
Assistant District Attorney Peter Mancuso of DA Singas’ Financial Crimes Bureau is prosecuting the case. Han is represented by Barry Weiss, Esq. and Kim is represented Megan Rha, Esq.