The former finance director for a defense contractor was sentenced Thursday to four years and three months in federal prison for bilking his employer out of nearly $2 million.
U.S. District Court Judge Clay Land sentenced William Scott Frazier to the maximum allowed under federal sentencing guidelines after asking Assistant U.S. Attorney Melvin Hyde what penalty prosecutors felt was appropriate within the range, which ran from 41 to 51 months in prison.
When Hyde said he would not object to Land's imposing the minimum sentence, Land said he supposed Hyde would not object to the maximum sentence, either.
Hyde then replied that the sentencing guidelines are "woefully inadequate" in a case of someone stealing $2 million.
Land agreed, and imposed the maximum.
He also ordered Frazier to repay the money.
The money totaled about $1.9 million Frazier spent on personal goods between Nov. 18, 2008, and Feb. 27, 2011, using company credit cards from the Omega Training Division after the Cubic Corporation acquired it in July 2008, authorities said.
Prosecutors said Frazier's expenditures were lavish, including jewelry, casino chips and artwork such as a $47,250 sculpture titled "Anatomy of a Golfer," which he bought Aug. 31, 2010, on a trip to Las Vegas.
A federal grand jury indicted Frazier, then 42, on August 14, 2012. He pleaded guilty this past Aug. 16 to two counts of wire fraud.
Addressing Land during his sentencing hearing Wednesday, he said friends and family have since asked why he did what he did.
"The simple answer is I took advantage of an opportunity . It's that simple and that stupidly foolish," he told Land. "I'm here because I acted like a selfish fool."
As a result, he lost his job, his cars, his home and his friends, he said.
Though Frazier was making $90,000 a year at his job, he continued to defraud his employer, at one point diverting $75,312 in Omega funds to an account for one of his two company credit cards, then spending the money on himself, the feds said.
He and his wife once ran a sports memorabilia shop called Legacy Sports Cards.
Prosecutors said he also used Omega funds to make fictitious purchases from the shop to give the appearance of increased sales.