Posted 2/14/2013 11:22 am
Updated 2 years ago
Andrew T. Melton, former chief financial officer of ThermoEnergy Corp. of Worcester, Mass., was indicted on 12 counts of mail fraud linked with allegations that he stole $109,575 from the company.
Melton is accused of using ThermoEnergy funds to pay on a $181,171 default judgment against him. Unpaid interest on the 1998 judgment boosted the total owed to $363,352.
The judgment by NationsBank was held by Union Rexam LLC of Rockville, Md., which attempted to garnish Melton's wages at ThermoEnergy.
According to the indictment (PDF), Melton instead "caused checks to be issued from ThermoEnergy to pay the judgment and expensed those payments on ThermoEnergy's financial records as if the payments were legitimate business expenses of ThermoEnergy."
Melton's alleged fraud scheme occurred between August 2006 and April 2009. The indictment details 12 checks mailed between Feb. 20, 2008 and April 27, 2009.
Melton was fired by ThermoEnergy in August 2009. He joined the company in 1997 as a director and was executive vice president and CFO since September 2005.
Melton sued ThermoEnergy in 2012, claiming he was stiffed on salary and benefits and that ThermoEnergy owed him at least $2.2 million.
Formerly of Little Rock, ThermoEnergy, a wastewater treatment and power generation technology company, moved its headquarters to Massachusetts in 2011.
From 1986 to 1994, Melton served as executive vice president, CFO and treasurer of Worthen Banking Corp., which was acquired by Boatmen's Bancshares of St. Louis and later become part of NationsBank.