A Bath man was sentenced to 10 years in prison Monday for embezzling more than $2 million from the Portland-based financial firm he worked for.
U.S. District Judge D. Brock Hornby sentenced David Altenburg, 46, to 10 years in prison followed by 18 months of supervised release for wire fraud, money laundering, transferring property to prevent seizure and aggravated identity theft.
Altenburg was also ordered to pay $2.8 million in restitution to victims of the offenses, according to a release from the U.S. Department of Justice.
From February 2019 to September 2020, Altenburg used his access to his employer’s financial accounts to make about 106 wire transfers and other withdrawals and fraudulently used the name and email address of a firm director to purportedly authorize certain transfers, according to court records.
In total, he diverted more than $2.7 million to accounts under his control, which he used to fund travel, pay his mortgage and purchase luxury vehicles, jewelry, clothing and other items.
After learning he was under investigation, Altenburg transferred the title of his residence to a trust managed by his wife in an effort to prevent its seizure.
The Federal Bureau of Investigation, with assistance from the Bath Police Department, arrested Altenburg at his home on Western Avenue in Bath in October 2020 on a warrant for four counts of wire fraud.
The FBI also seized four luxury vehicles from the home during the search, including a Mercedes and two BMWs.
He pleaded guilty to the crimes in June.
Prior to entering his guilty plea, Altenburg opened an online bank account, according to the press release. Despite agreeing to surrender all proceeds of his criminal conduct, he funded this account by selling property he obtained with the embezzled money, according to the press statement. He then spent money on visits to resorts in Maine and New Hampshire and other non-essential items.
In court documents dated October 14, 2020, FBI special agent Kevin M. McCusker wrote the bureau learned about Altenburg’s alleged embezzlement in mid-September.
Altenburg transferred funds from accounts under the control of the financial firm where he worked to his own personal accounts at USAA Federal Savings Bank without the knowledge of the financial firm, McCusker wrote.
The chairman and CEO of the financial firm noticed a large unexpected transaction of $350,000 involving one of the funds the firm manages, according to court documents. After confronting Altenburg, who said it was a mistake, the CEO got an email from Altenburg on Sept. 15 stating that he was “sorry but I have made some very major mistakes with these accounts.”
Altenburg wrote that he had been battling substance abuse issues and had family difficulties, court documents show.
In a statement Tuesday, Altenburg’s attorney Richard Berne wrote this was “a challenging case” for Altenburg, his family and his former employer.
“While David understood that he faced significant punishment, he of is understandably disappointed that his sentence [was] so harsh but is committed to making the best of a difficult situation,” Berne wrote in an email to The Times Record. “More importantly, upon completion of his sentence he will emerge a better person and resume his role as a loving father and husband to his sons and wife.”
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