Accountant gets 310 days for embezzlement - August 13, 2004

Mail Tribune (Medford, OR — Wayback)

2004-08-15

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98 °F Forecast | Road Cams Saturday, August 14, 2004   Today's News | Classifieds | Autos | Homes | Jobs | Tempo | Health | Community | Home Delivery   SECTIONS Home Page Local News Sports Business Obituaries   Life   Opinion - Politics   Tempo   AP News   Weather   Classified   Archives   Site Map   SPECIAL SECTIONS   Since We Asked   Outdoor Journal   Prime Times   Wellness Connection   Readers' Choice   Real Estate Showcase   Joy Magazine   Homelife Magazine   Wedding Guide   Rogue Valley's Finest   EXTRA   Newspaper in Education   Personals   Movie Times   TV Times   E The People   MARKETPLACE Find a Car Find a Home Find a Job Classifieds Place an ad  eSouthernOregon Automotive Communities   Entertainment   Publications   Recreation   Calendar   CUSTOMER SERVICE Frequent Questions Advertising Information Home Delivery Employment Contact Us Media Kit   Network Affiliate Oregon Road Conditions & Cams Email Story to a Friend August 13, 2004 Accountant gets 310 days for embezzlement By SARAH LEMON Mail Tribune A former accountant whose embezzling nearly toppled a Medford software company will spend less than a year in jail. Michael Lee Acton, 45, was ordered to serve 310 days after pleading guilty Thursday in Jackson County Circuit Court to 21 counts of first-degree theft and aggravated theft. He must repay $102,000 stolen from N’Lightning Software Development Inc., which creates Bible-themed video games. "It really hurt us," said Ralph Bagley, N’Lightning’s chief executive officer. "We were a small, struggling business as it was." During a year of employment between 2002 and 2003, Acton wrote himself checks from the company’s business account and fabricated the books, prosecutors said. N’Lightning’s executives developed suspicions upon receiving past- due notices for bills, investigators said. The company’s board asked for financial statements, but Acton failed to produce an accounting, saying he was too busy, Bagley said. He quit when the company hired an accounting assistant, Bagley added. Following the theft, N’Lightning was forced to lay off its 11 employees and only started re-hiring in May, Bagley said. Company executives hope to be fully staffed by Christmas, Bagley added. N’Lightning’s annual earnings were about $500,000 before Acton’s embezzling, Bagley said. Advertisement The company — on Crater Lake Avenue — has since changed its hiring practices to include a full background check, Bagley said. Had company representatives investigated Acton’s past, they would have uncovered felony convictions for theft in Clackamas and Multnomah counties. N’Lightning employees trusted Acton because he came recommended from business partners in Portland, Bagley said. "He presented himself as someone who really cared," he said. Acton, who lists a Portland address, also is suspected of stealing an additional $20,000 from two Portland employers, investigators said. He is wanted in Multnomah County on a charge of unauthorized use of a vehicle. Acton’s attorney Paul Beneke told the court that Acton had hoped to receive a bonus while working for N’Lightning so he could repay the money he took before his crime was discovered. Acton told Circuit Court Judge Lorenzo Mejia that he was drinking heavily when employed by the Medford company and has been diagnosed with bipolar disorder. He apologized for the crime. Acton faces an additional charge locally of racketeering — filed Thursday — because he did not agree to the sentence stipulated by the District Attorney’s Office. Prosecutor Matt Chancellor said he would not pursue the more serious crime if Acton consented to spend a year in jail for the 21 theft counts. Acton already has spent almost two months in custody. Reach reporter Sarah Lemon at 776-4487, or e-mail [email protected] Mail Tribune Home Local News  | Sports  | Business  | Obituaries  | Life Opinion - Politics | AP News | Archives  |  Site Map   E Southern Oregon  | Classified   Copyright © 1997-2004 Mail Tribune. All rights reserved. Privacy Policy | Terms & Conditions Website Feedback   ADVERTISERS A D V E R T I S E R S SPECIAL SECTIONS Auto Finder Job Finder Home Finder Joy Magazine Homelife Magazine Tempo Readers' Choice Real Estate Showcase Since We Asked Outdoor Journal Moving to Southern Oregon? Volunteer Opportunities