CFOSnafu.com » Employee’s wife rats out husband’s work theft

Employee’s wife rats out husband’s work theft

November 21, 2008 by Shane Borer
Posted in: "Would you want this person in Finance?", Fighting off fraud, In this week's e-newsletter, Latest news & views, Tech failure

If you’ve been stealing from your employer for years, here’s some advice: Don’t tick off your significant other.

Victor Papagno Jr., 19-year veteran of the Naval Research Laboratory, recently pleaded guilty to the theft of more than $1.6 million in government property. As a computer administrator for the Navy research lab, Papagno had access to valuable hard drives, floppy disks and other computer hardware. With that level of access, it’s not surprising that he’d stolen over 19,709 pieces of equipment during his time there.

What is surprising is how federal authorities discovered the theft: Papagno’s wife tattled on him.

After Papagno was arrested on an unrelated domestic violence charge, his wife, Andrea, called his bosses and informed them she wanted the work stuff out of her house. When Navy officials didn’t realize what she was talking about, she claimed there was so much computer equipment lying around that some of it had to be stored at neighbors’ homes.

The equipment was quickly recovered, and officials say that no secret technological info had been breached in the theft. Private info of 14 contractors and employees who worked at the lab was found on CDs, but each party was contacted about the leak.

The discovery was made only three days after Papagno’s arrest for domestic violence. Since he was apprehended, his wife has dropped the charges.

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