A federal judge has sentenced the former finance director of AFTRA’s Health and Retirement Funds to 37 months in prison for embezzling $1.36 million from the funds.
U.S. District Court Judge Naomi Reice Buchwald sentenced Robert Cataldo in New York on Thursday, one year after the embezzlement was discovered. Buchwald also ordered Cataldo to make restitution and imposed two years’ probation once he’s out of jail.
Cataldo pleaded guilty to the embezzlement in August 2004 after independent auditors discovered the missing money during their annual audit.
Cataldo was responsible for financial and accounting processes, including development, implementation and monitoring compliance of internal financial, accounting and related controls.
After Cataldo was arrested, trustees announced they had commissioned a study by the independent auditors to identify and implement additional procedures to ensure the integrity of the funds and had taken actions necessary to prevent future embezzlement. The funds also said at the time that insurance companies agreed to reimburse them for the full amount Cataldo embezzled.