Former Mars Exec Pleads Guilty to Fraud
A former executive from Mars Inc.’s subsidiary has admitted guilt to fraud and tax offenses linked to a substantial $28 million theft from the company, according to federal prosecutors.
Paul Steed, 58, appeared at a federal court in Bridgeport, Connecticut.
Steed has agreed to pay Mars $28.4 million in restitution, as confirmed by David Sullivan, the U.S. attorney for Connecticut.
Residing in Stamford, Connecticut, Steed was released on a $5 million bond but, interestingly, he didn’t respond to attempts to contact him via the phone number and email listed in public records.
His attorney, Deirdre Daly, a former U.S. attorney for Connecticut, also did not reply to messages seeking a comment.
Holding dual citizenship in the U.S. and Argentina, Steed was quite well-regarded in the sugar market during his tenure at Mars Wrigley. His last role within the company was as the Global Price Risk Manager. It’s curious how someone with such a solid reputation could end up in this situation.
Based in McLean, Virginia, Mars Inc. is known for producing popular items like M&M’s, Snickers, and Skittles, among other food and pet products.
The federal complaint against Steed alleges that he had stolen funds from Mars around the year 2013.
Interestingly, Steed is accused of directing a significant portion of the stolen money to a company named McNa LLC, which purportedly cost over $26 million. This entity was established to mimic the real Mars company. It’s a puzzling strategy, to say the least.
Authorities have reportedly seized more than $18 million from Steed’s bank accounts, and he has consented to forfeiting these funds.
The government is also moving to settle a property in Greenwich, Connecticut, which was allegedly bought with about $2.3 million of the stolen money. Prosecutors suggest that another $2 million was transferred to Argentina.
Ultimately, Steed pleaded guilty to two counts of wire fraud and a single count of tax evasion. Sentencing is scheduled for December 9th, and one can only wonder how a career can spiral so dramatically in such a short time.
