Prison Time For Kathleen Desalvo

On August 21, 2007, Kathleen DeSalvo was sentenced to 51 months in a Federal Penitentiary for her theft of 3.45 Million Dollars from the community associations her company, MultiVest Management Company, managed. The sentencing was held in the Federal District Court, the Honorable Christopher Boyko, presiding.

Kathleen’s attorney asked the Court to allow Kathleen to address those in attendance. The Judge allowed it and she turned to those in the courtroom and offered her apologies and tearfully stated her remorse and intent to make restitution for the remainder of her life. She then apologized to her former employees in attendance and to her family for the embarrassment and pain she caused them.

Her attorney made many references to her voluntary disclosure to the government of her crimes, her cooperation and honesty in revealing all of the evidence and documentation for the case against her. She indicated that had it not been for Kathleen turning herself in, the government would not have had a case because no investigation was pending. She tried to ask the court to consider those factors in the sentencing and even asked that Kathleen receive probation due to the non-violent nature of the offense and to encourage people like Kathleen to come forward and confess their crimes.

The Federal Prosecutor questioned her actions in coming forward and whether those actions warranted a reduced sentence to the degree requested by the defense. He stated that any mitigating factors presented were overshadowed by the aggravating factors of the length of time she committed the crimes along with the amount stolen. He asked that the Judge sentence her within the range provided by law, which was 51-63 months in prison.

The Judge then gave the victims present who wished to address the court the opportunity to do so. A number of Board members addressed the court from various associations, explaining the impact of Kathleen’s actions on their association. They talked about her employees that lost their jobs, the associations whose common areas are in disrepair due to the lack of funds, and the unit owners who cannot sell or refinance their units due to the dire financial situation of their association. They plead with Judge to not be sympathetic to Kathleen’s display of emotion and to consider the hundreds of people who have to deal with the fallout from her crimes. One Board member called any actions taken by her in coming forward dishonest, and not forthcoming and cooperative in nature and should not be deemed as such; that her actions were merely a further reflection of her criminal, crooked and cowardly behavior that is merely a ploy to make herself look better in the eyes of the Court to receive a more favorable sentence.

Many expressed fear of a person like Kathleen, who is smart and can be so kind in person, yet so devious behind closed doors. They expressed fear that she would do it again if the opportunity arose, but perhaps better cover her tracks. One even called her scarier than a common street criminal.

When it came time to issue her sentence, the Judge took great time and effort to explain how he was arriving at the sentence. Based upon her voluntary disclosure he found that she was eligible for a reduction in the range of time that can be sentenced. The new range was 41-51 months in prison. He stressed that restitution in this case is paramount. He discussed the broken trust and the effect of her actions on her employees, clients and family. He commented on the hundreds of hours she spent to perpetrate this crime and manipulation of the accounts. The Judge further indicated his duty to be careful with his authority and render judgment fairly.

Ultimately, Kathleen DeSalvo was sentenced to 51 months (4 years 3 months) in a federal prison, which was the maximum time allowed in the sentencing range; and she was ordered to make full restitution of 3.45 Million Dollars. She will be subject to three years of supervised probation in the State of Ohio upon release from prison. The government is entitled to levy any property owned by her or any assets of hers at any time to further make restitution to those she has harmed.

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