Financial Manager Pleads Guilty in a Federal Court in Louisiana to Embezzling Over $200,000 From Client

New Orleans, Louisiana – U.S. Attorney Duane A. Evans announced that Katie Laroche, age 54, a resident of Dallas, Texas, pleaded guilty as charged in a federal court in Louisiana on July 27, 2022, to a one-count bill of information charging her with wire fraud, in violation of Title 18, United States Code, Section 1343 in connection with embezzling more than $200,000.

According to court filings, Laroche founded, owned, and operated Capital City Consulting Firm, which claimed to offer financial management services. Victim 1 was a Laroche client, and Laroche was in charge of bookkeeping, accounting, and other financial services for Victim 1 and Victim 1’s enterprises. Laroche had signatory authority over Victim 1’s bank accounts and access to them.

Laroche participated in a scheme to defraud Victim 1 and Victim 1’s businesses from around February 2015 to March 2021 by taking monies from Victim 1’s accounts under false pretenses and using the funds for her own advantage. Laroche, in particular, misrepresented that the monies were being used to pay federal income taxes. When Victim 1 inquired about the status of Victim 1’s tax responsibilities, Laroche lied to Victim 1 in order to conceal her scam. Laroche further arranged for monthly payments to be regularly deducted from Victim 1’s account to pay for a vehicle insurance policy benefiting someone other than Victim 1. Laroche stole $233,363.53 from Victim 1 in total.

Laroche faces up to twenty years in jail, a $250,000 fine, up to three years of supervised release after any term of imprisonment, and a $100 special assessment fee. The sentencing hearing has been set for October 19, 2022, by Judge Sarah S. Vance.

United States Attorney Evans lauded the work of the US Secret Service. The prosecution is led by Assistant United States Attorneys Nicholas D. Moses and Jordan Ginsberg.