Former Metal Finishing Company CEO Sentenced to Prison for Misusing Corporate Funds

Former Metal Finishing Company CEO Sentenced to Prison for Misusing Corporate Funds

Former Metal Finishing Company CEO, Harry Corl III, has been sentenced to 2½ years in federal prison for misusing corporate funds, according to the U.S. Department of Justice. Corl, 71, of Pittsburg, was also ordered to pay $253,625 in restitution to 30 former employees and shareholders.

Corl and his estranged wife, Kim Corl, served as executive officers for Nu-Metal Finishing Inc. and trustees of its employee stock ownership plan. Their role was to manage the plan’s cash, stock, and assets in the best interest of the employee shareholders. However, from 2011 to 2014, Corl used the company’s accounts to pay for personal expenses, including jewelry purchases from Tiffany & Co. and lease payments on luxury vehicles such as a Ferrari, Bentley, and Mercedes-Benz.

In May 2014, the couple orchestrated the fraudulent sale of Nu-Metal, misrepresenting themselves as the sole owners of the company and claiming that the employee stock ownership plan had been terminated. As a result, the plan and another shareholder, who owned more than 50% of the company’s stock, were deprived of their rightful portion of the sale proceeds. Corl transferred the majority of the funds to his personal accounts and subsequently disappeared.

The affected employees, who participated in the plan, have not received any portion of the proceeds and were subsequently laid off after the sale. The sentencing memorandum from Corl’s attorney, Carleen Arlidge, highlighted her client’s current impoverished state and ill health, urging the court to impose a maximum sentence of two years in prison.

U.S. District Judge Edward J. Davila, however, sentenced Corl to 2½ years in prison, along with three years of supervised release and a $100 special assessment fee. Corl is scheduled to begin serving his prison term on June 13.

Kim Corl, the estranged wife, pleaded guilty to conspiracy to commit wire fraud in April 2022 and was sentenced to 13 months in federal prison, followed by three years of supervised release.

Author: CrimeDoor

Leave a Reply

Share on:

[mailpoet_form id="1"]

Subscribe to Our Newsletter