At a Glance

  • The former chief financial officer of a Pennsylvania subsidiary of a Chicago-area entity was sentenced after embezzling over $1 million from the entity to purchase luxury items, the U.S. Attorney's Office for the Northern District of Illinois said in a press release Monday.on eight counts of wire fraud.
  • During her tenure as treasurer, Tina Feuerstein used company credit cards over five years to purchase personal items, including luxury furniture, designer clothing, and everyday expenses.
  • A federal jury in Chicago federal court found Feuerstein guilty on all eight counts on April 9 after a four-day trial. Each wire fraud count carries a maximum sentence of 20 years in federal prison, according to Monday's announcement. U.S. District Judge LaShonda A. Hunt scheduled Feuerstein's sentencing for August 26.

Deep Dive

According to a previously filed indictment in the U.S. District Court for the Northern District of Illinois, parts of which were redacted, Feuerstein, 53, worked in the accounting department of York Wallcoverings and served as its CFO.

York Wallcoverings isa subsidiary of York Design Group. York Design Group is a home decor and furnishings company formed in 2021 through the merger of York Wallcoverings and Brewster Home Fashions. Both companies had previously been acquired by private equity group Industrial Opportunity Partners, according to the company's website.

The indictment states that during her tenure as treasurer of York Wallcoverings (referred to as "Company A" in court documents), from around November 2016 to around February 2023, Feuerstein made over 3,800 fraudulent purchases using an American Express corporate card, misappropriating approximately $1.09 million in company funds.

These purchases included groceries, utility bills, and travel expenses, as well as luxury furniture, handbags, and other items for herself, her husband, and her children. Additionally, Feuerstein used her access to the company's accounting system to conceal these expenditures, making them less likely to be noticed by others at Company A or "Company B" (Industrial Opportunity Partners).

For example, one wire fraud charge involves a payment of $8,303 to furniture manufacturer Raymour & Flanigan on an American Express corporate card on December 11, 2022. Other charges include a $1,289.06 purchase at Coach and payments to luxury brand Michael Kors and motorcycle manufacturer Harley-Davidson.

The indictment also alleges that she made false entries in Company A's accounting system to conceal these purchases and "made false and misleading statements and omissions of material facts to Company A and Company B's management and owners regarding her spending on Company A's American Express credit card."

Evidence presented during the four-day trial also showed that Feuerstein had previously embezzled over $250,000 while working in the accounting department of another company. The U.S. Attorney's Office confirmed in an email that trial evidence established Feuerstein's former employer was Philips Corporation. The office declined to comment on the verdict.

Feuerstein's attorney, John Somerville, did not immediately respond to a request for comment on the verdict.

A spokesperson for York Wallcoverings said in an email to CFO Dive that the company does not comment on "individual employment matters or ongoing or concluded legal proceedings."