what is embezzlement 
embezzlement refers to a form of white collar crime in which a person or entity intentionally misappropriates the assets entrusted to them in this type of fraud the embezzler attains the assets lawfully and has the right to possess them but the assets are then used for unintended purposes embezzlement is a breach of the fiduciary responsibilities placed upon a person understanding embezzlementindividuals who are entrusted with access to an organization s funds are expected to safeguard those assets for their intended use it is illegal to intentionally access that money and convert it to personal use such activities can include diverting funds to accounts that appear to be authorized to receive payments or transfers however the account is a front that allows the individual or a third party they are collaborating with to take the funding for instance an embezzler might create bills and receipts for business activities that never took place or services that were never rendered to disguise the transfer of funds as a legitimate transaction an embezzler might collaborate with a partner who is listed as a consultant or contractor who issues invoices and receives payment yet never actually performs the duties they are charging for the nature of embezzlement can be both small and large embezzling funds can be as minor as a store clerk pocketing a few bucks from a cash register however on a grander scale embezzlement also occurs when the executives of large companies falsely expense millions of dollars transferring the funds into personal accounts depending on the scale of the crime embezzlement may be punishable by large fines and time in jail 