What Is the Law on Misappropriation of Funds in Arkansas and What Are the Punishments for It?
Misappropriation is a term that conveys the use of another person’s likeness or property without authorization. A person who misappropriates another’s property would have to be in a position of trust and such position would have been exploited.
Misappropriation of Funds is a crime that requires a person to have stolen another’s property for their own benefit. Such use of another’s property is considered as theft but under different circumstances. The primary difference between the act of theft and Misappropriation of Funds is the position from which the theft has occurred. A regular theft would mean that a person has stolen property that did not belong to them. Misappropriation of Funds, on the other hand, requires the wrong-doer to have been in a position of trust.
To elaborate further, if a person has handed over his property to another for the sake of caretaking or overlooking for specific reasons, and such property has been stolen from them without authorization, it would amount to misappropriation. The person should have handed over the said property either partially or wholly, with legal authorization. The person may have also transferred the ownership of the property for any purpose.
In this context, the property does not literally translate to land or buildings of any kind. Property can be anything of value that is under the possession of a person. When it comes to Misappropriation of Funds, the property is monetary.
Examples of Misappropriation of Funds include – an employee who has stolen the company’s funds for his personal use, a financial advisor who steals the investor’s funds without authorization, lawyers who take the money of their clients but use it for personal gain, trustees who misuse the trust’s funds for personal use and so on.
What Is a Misappropriation of Funds in Arkansas?
In the State of Arkansas, the crime of Misappropriation of Funds is called embezzlement. Embezzlement is a crime that entails Misappropriation of Funds but can include other property as well. The State of Arkansas views the crime of embezzlement as a serious one with stringent repercussions.
Not all crimes can be treated the same. For the act of embezzlement, the value of the stolen property plays an important role in deciding the scope for penalties. Here is a list of penalties that come under the crime of embezzlement.
- If the person has embezzled an amount or property with a value more than USD 25,000, they have committed a crime of embezzlement under a Category B Felony. The person may face a prison sentence of over twenty years, which will be decided based on the gravity of the crime. Additionally, the person may have to cough up a minimum fine of USD 15,000.
- If the person has embezzled money or a property worth a value of USD 5000 up to USD 25,000, they will be charged with a Class C Felony. The penalty for this crime would include a prison sentence of up to ten years. A maximum amount of USD 10,000 will be charged as a fine.
- If the person has embezzled an amount or property with a value that ranges between USD 1000 and USD 5000, the crime would be considered a Class D Felony. The person will have to face a maximum prison sentence of 6 years. A maximum fine of USD 10,000 will also be charged to the embezzler.
- If the stolen property carries a value of USD 1000 or less, it would amount to a Class A Misdemeanor. The person will have to face a maximum prison sentence of one year. They will also be levied a fine of USD 1000 towards the charges.