With decades of legal experience, D.G. Moore is a highly respected Michigan criminal defense attorney specializing in white-collar crimes, including embezzlement and financial fraud. His aggressive legal defense has led to numerous case dismissals, acquittals, and reduced charges, helping clients avoid life-changing criminal penalties. If you are facing embezzlement charges in Michigan, contact D.G. Moore Law immediately for a strategic legal defense.
750.174 Embezzlement by Agent: Michigan Laws, Penalties, Defenses & Legal Guidance
In Michigan, embezzlement laws under MCL 750.174 are part of the criminal procedure that outlines penalties for the fraudulent use or conversion of property entrusted to an agent or employee. These penalties can range from misdemeanor fines and up to 1 year of prison or a felony charge of up to 20 years in prison depending on the value of the embezzled property and the circumstances of the case.
What Is Embezzlement of Personal Property in Michigan?
Under MCL 750.174, embezzlement occurs when an employee, trustee, agent, or person in a position of trust fraudulently takes, misuses, or converts money or property that was entrusted to them for his or her own use.
Common Examples of Embezzlement
- Employee Theft – Taking money from a company cash register.
- Payroll Fraud – Falsifying hours or issuing unauthorized checks.
- Bank Fraud – Transferring funds between accounts without permission.
- Misuse of Company Assets – Using business funds for personal expenses.
- Charity or Nonprofit Fraud – Misappropriating funds from a nonprofit organization.
- Misappropriation of Other Personal Property – Taking items like electronics or office supplies for personal use.
How Embezzlement Differs from Larceny and Fraud
| Crime | Definition | Key Difference |
|---|---|---|
| Embezzlement | Stealing money/property entrusted to you by an employer or entity, where an individual or legal entity fraudulently disposes of the money or property. | Involves a breach of trust. |
| Larceny | Taking someone else’s money/property without permission. | No prior legal access to the property. |
| Fraud | Deceiving someone for financial gain. | Involves false representation. |
Penalties for Embezzlement in Michigan (MCL 750.174)
The severity of embezzlement penalties depends on the value of the stolen money or property and whether the victim was a nonprofit or vulnerable person. Additionally, the severity of penalties can be influenced by the defendant’s prior conviction for similar offenses.
Misdemeanor Embezzlement
- Less than $200 – Up to 93 days in jail, $500 fine or three times the stolen amount (whichever is greater).
- $200 – $1,000 – Up to 1 year in jail, $2,000 fine or three times the stolen amount.
Misdemeanor charges can escalate to felony charges if the victim is a charitable organization or the defendant has prior embezzlement convictions. Prior convictions under a local ordinance substantially similar to MCL 750.174 can also escalate misdemeanor charges to felony charges.
Felony Embezzlement
| Value of Stolen Property | Prison Time | Fines |
|---|---|---|
| $1,000 – $20,000 | Up to 5 years | $10,000 or 3x the stolen amount |
| $20,000 – $50,000 | Up to 10 years | $15,000 or 3x the stolen amount |
| $50,000 – $100,000 | Up to 15 years | $25,000 or 3x the stolen amount |
| Over $100,000 | Up to 20 years | $50,000 or 3x the stolen amount |
Enhanced Sentences – Defendants with prior embezzlement convictions or who stole from nonprofits or vulnerable adults may face additional penalties. If the victim is a nonprofit corporation or charitable organization defined under federal law, this can influence the severity of sentencing.
How Prosecutors Prove Embezzlement of Property Entrusted in Michigan
To convict someone of embezzlement, the prosecution must prove:
- A relationship of trust existed – The defendant had legal access to money or property.
- Fraudulent intent – The defendant knowingly misappropriated funds for personal gain.
- Conversion of property – The defendant took, used, or disposed of the funds improperly.
- Lack of consent – The rightful owner did not authorize the transaction.
- Prior convictions – The prosecuting attorney intends to seek a harsher sentence based on prior convictions, which must be included in the complaint.
Defenses Against Embezzlement Charges
A strong legal defense can lead to dismissed charges, reduced penalties, or acquittal.
Common Embezzlement Defenses
- Lack of Intent – The funds were mismanaged, but not intentionally stolen.
- False Accusations – The defendant was wrongly accused due to internal disputes.
- Accounting Errors – The discrepancies resulted from clerical mistakes.
- Consent Defense – The employer or her principal authorized the transaction.
- Insufficient Evidence – Prosecutors lack solid proof of wrongdoing.
Consequences of an Embezzlement Conviction and Defendant’s Prior Conviction
- Permanent Criminal Record – A felony conviction stays on background checks forever.
- Employment Barriers – Many industries refuse to hire individuals with theft-related offenses.
- Financial Ruin – Heavy fines, restitution, and legal costs.
- Loss of Professional Licenses – Medical, legal, and financial professionals risk losing their licenses.
- Immigration Consequences – Non-citizens may face deportation for felony convictions.
- Governmental Entity Consequences – Individuals working for a governmental entity may face additional consequences, such as loss of employment and professional reputation.
Related White-Collar Crimes in Michigan
- MCL 750.175 – Embezzlement by Public Officials
- MCL 750.176 – Embezzlement by Administrators and Trustees
- MCL 750.177 – False Pretenses & Fraudulent Transactions
- MCL 750.178 – Credit Card Fraud & Identity Theft
- MCL 750.179 – Embezzlement by Legal Entity
How an Experienced Michigan Embezzlement Attorney Can Help
A top-tier Michigan criminal defense attorney can:
✔ Challenge weak evidence
✔ Negotiate plea bargains for reduced charges
✔ Develop strategic defenses tailored to the case
✔ Protect your rights and reputation
An experienced attorney can also help aggregate the total value of embezzled money or property within a 12-month period for legal consequences by considering separate incidents pursuant to a single scheme or course of conduct.
Call D.G. Moore Law for a Free Consultation
If you are under investigation or facing embezzlement charges in Michigan, you need a strong legal defense. Contact D.G. Moore Law today for a free consultation. If a person violates subsection of MCL 750.174, they need strong legal representation to navigate the legal consequences.
Call Now: 269-808-8007
FAQs About Embezzlement in Michigan
What amount of embezzlement is considered a felony in Michigan?
Any amount over $1,000 is classified as felony embezzlement under MCL 750.174, whether it involves an individual or other legal entity.
Can an employer accuse an employee of embezzlement without evidence?
No. Employers must prove intent, unauthorized use, and financial loss for a conviction. Additionally, they must demonstrate that the employee misused or converted property entrusted to his or her care without authorization.
Can you go to jail for embezzling less than $1,000?
Yes. Even for amounts under $200, penalties include up to 93 days in jail if the personal property involved was misappropriated.
What happens if I pay back the stolen money?
Paying restitution may help negotiate reduced charges but does not automatically dismiss criminal charges for property under his or her charge.
Can embezzlement charges be dropped in Michigan?
Yes. With a strong legal defense, charges may be dropped or reduced, regardless of whether the embezzled property was money or other personal property.
Is embezzlement considered a federal crime under federal law?
Embezzlement becomes a federal offense if a person violates subsection of federal law involving government funds or interstate fraud.
Can an embezzlement conviction be expunged?
Some non-violent embezzlement charges may be eligible for expungement under Michigan law, especially if they involve separate incidents pursuant to a single scheme or course of conduct.
