Accountants Behaving Badly, Part 40
Ernie Neve, CPA
October 31, 2018
Big-league baseball players like the ones who just wrapped up the World Series enjoy careers that last 5.9 years on average, and with 162 games per year, they enjoy lots of chances to be heroes. But eventually, even the best of them hang up their cleats and join the rest of us in the real world. The lucky ones find high-profile gigs running car dealerships or calling games from the broadcast booth. But every once in a while, a former player manages to makes headlines where you'd least expect them — like working as an accountant!
Ben Hendrickson started out looking like he'd become one of the greats. In 2004, the promising right-hander went 11-3 for the International League Indianapolis Indians and won league MVP honors. Then he got his start in the big leagues. Wearing #40, he pitched 11 games for the Milwaukee Brewers, finishing 1-10 with a 7.41 ERA. (If you're not familiar with baseball stats, those numbers are no bueno.) Milwaukee sent him down to their Nashville farm team and eventually traded him away. But Hendrickson never made it back to "the show," and his bright light faded away.
Fast forward to 2018. Hendrickson is working as an accountant for Floors Northwest in Fridley, Minnesota, just north of Minneapolis. Like all too many Americans, he's working paycheck to paycheck and not getting ahead. How can he throw some heat and escape the grind? Hey, here's an idea! Baseball runners who want to advance to the next base don't have to wait for the batter to hit the ball . . . they can just take off running and steal it! So, if Hendrickson wants more money so badly, why not just steal it from the company?
Last week, Anoka County District Court charged Hendrickson with four counts of "theft by swindle," totaling about $250,000. That's a refreshingly blunt description for the charges against Hendrickson, which can mean trading him away for up to 20 years in a place with no organized baseball whatsoever.
Here's how the Minneapolis Star-Tribune described the criminal mastermind's evil plan:
"While working for Floors Northwest in Fridley, where Hendrickson worked for several years until he left his job last year, he would alter the amount of cash received to make it look like less was collected from sales staff. Hendrickson deposited the lower amount and kept the rest. Nearly $160,000 of the money he stole was taken in the final two years of his employment. He also allegedly shifted $10,000 of the company's money to a personal health care account that paid his medical bills."
Hendrickson admits he stole the money . . . but says he thought he took between $50,000 and $75,000. Which begs the question, just how bad an accountant do you have to be to not count how much you stole? After failing at baseball and bookkeeping, Hendrickson may find that a few years in the metalworking field (specifically, stamping license plates for 11 cents/hour) may be just the vocational training he needs!
We all understand wanting to get ahead. Fortunately, there's an easy way to do it, without risking a trip to the pokey. Call us for a tax plan, and see how many dollars we can advance into your pocket. We think of your average tax rate as your financial "earned run average," and we do everything legal to keep it as low as possible. So call us to take a swing, and watch us bring the heat!