Woman charged with embezzling more than $2 million from employer

A Hutchinson woman has been charged with mail fraud for embezzling over $2 million from her employer, according to U.S. Attorney Andrew M. Luger.

Court records state that Jennifer Lee Rath, 52, worked as the financial controller at R&R Excavating, Inc., a heavy civil construction company in Hutchinson. In this role, Rath managed the company’s payroll, accounts receivable, accounts payable, company credit cards and corporate bank accounts.

Charging documents allege that Rath created manipulated checks that appeared to cover R&R’s liabilities but were used to pay her own credit card debts, tax liabilities or other personal expenses.

Documents state that Rath also processed electronic fund transfers from the company’s bank accounts to pay personal expenses and charged personal expenses to company credit cards. Rath also manipulated R&R’s accounting software to avoid being detected in order to continue her fraud scheme.

Between Aug. 2013 and Dec. 2019, Rath embezzled $2,061,328.67 from her employer, according to court records.

This case was investigated by the FBI and Hutchinson Police Department.

Rath’s first appearance in U.S. District Court is to be scheduled for a later date.