VICE PRESIDENT OF FINANCE FOR URBAN DECAY CHARGED WITH GRAND THEFT AND MONEY LAUNDERING FOR TRANSFERING OVER $1 MILLION FROM COMPANY TO PERSONAL ACCOUNTS
SANTA ANA, Calif. – The vice president of finance for Urban Decay was charged today with grand theft and money laundering for transferring over $1 million from the company to his personal accounts through fictitious businesses.
Ranjeet Reddy Paladugu, 40, Irvine
Charged today with the following felony counts:
(2) Grand theft
Aggravated white collar crime over $500,000
Property loss over $200,000
13 years and four months in state prison
Dec. 12, 2017, 8:30 a.m.
Department H-7, Harbor Justice Center, Newport Beach
Bail: $1.197 million
Circumstances of the Case
At the time of the crime, Paladugu was employed as the vice president of finance for the cosmetics company Urban Decay in Newport Beach.
Prior to July 17, 2017, the defendant is accused of creating fictitious business accounts at various banks with names similar to those of Urban Decay’s business partners to avoid detection.
On July 17, 2017, Paladugu is accused of using his position at the company to authorize a $598,500 transfer from Urban Decay to one of his fictitious business accounts, then transferring the funds to his personal bank account.
On Aug. 18, 2017, Paladugu is accused of authorizing a second $598,500 transaction from Urban Decay to a different fictitious company he created.
Weeks later, Paladugu is accused of canceling the second transaction and wiring the money back to the Urban Decay account.
A bank noticed the suspicious activity and alerted Urban Decay corporate security, who contacted the Newport Beach Police Department (NBPD).
NBPD investigated this case and arrested Paladugu on Dec. 5, 2017.
Prosecutor: Deputy District Attorney Nagy Morcos, Major Fraud Unit