Milford Woman Sentenced for Stealing $2.6 Million from Employer

BOSTON – A Milford woman was sentenced today in federal court in Boston for stealing approximately $2.6 million from her employer and using the money to purchase luxury items at Boston-area boutiques.

Debra Mulloy, a/k/a Debra Depaul, 58, was sentenced by U.S. District Court Judge F. Dennis Saylor IV to 69 months in prison, three years of supervised release and ordered to pay restitution in the amount of $2,654,346.  In July 2018, Mulloy pleaded guilty to two counts of wire fraud and one count of aggravated identity theft.

From 2004 through 2016, Mulloy was responsible for most of the financial and organizational duties at the company for which she was employed. On multiple occasions from April 2012 to December 2016, Mulloy used the company’s credit card account in the name of another employee to make hundreds of unauthorized charges totaling nearly $2.4 million. Most of those unauthorized purchases were for clothing, furs, and jewelry at boutique stores in the Boston area. Mulloy then sold many of the luxury items at consignment shops. As part of her scheme, Mulloy also caused company checks to be issued for her personal benefit, primarily to pay her personal credit card bills. In total, Mulloy defrauded her employer of approximately $2.6 million. 

United States Attorney Andrew E. Lelling and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement today. Assistant U.S. Attorney Mark J. Balthazard of Lelling’s Securities and Financial Fraud Unit prosecuted the case.