×

Woman pleads guilty to defrauding Maui surfer

The Maui News

A bookkeeper has pleaded guilty in federal court to 13 counts of wire fraud in a scheme to defraud Maui surfing prodigy Clay Marzo and his mother.

Felicidad Rivera, 51, of Maui admitted she was guilty of wire fraud in connection with a plan to bilk Marzo and his mother, Jill Marzo Clark, of nearly $374,000 in funds from the banking accounts of their business, Cmarzo Inc.

Rivera faces up to five years in prison and a fine of $250,000 for each of the 13 counts to which she plead, according to the U.S. Attorney’s Office, which announced the guilty plea Friday.

Her sentencing is scheduled for June 5.

Marzo lost his home and his life savings and was left $30,000 in debt, Clark told The Maui News in October. Clark also lost a significant amount of money to the woman she described as being like a family member.

According to court documents and evidence presented: Rivera became the bookkeeper for two Maui businesses operated by the mother and son. As their bookkeeper, Rivera had access to the bank accounts of each business.

After gaining the owners’ confidence, she would falsely represent to them that business funds were required to pay legitimate expenses.

“In truth, the funds were not required for business expenses but were intended by Rivera to be deposited into her personal checking account and fraudulently converted to her own use,” federal prosecutors said.

From December 2008 through August 2015, Rivera wrote 193 unauthorized checks to herself totaling about $334,500.

She also tapped the victims’ accounts to pay her personal monthly credit card bills.

Information presented in court showed that, in over 87 monthly transactions, Rivera stole another $75,488 from the victims’ bank accounts without their knowledge or consent.

Court documents said Rivera concealed her transactions through phony entries in QuickBooks ledgers she was maintaining.

In 2015, Clark discovered charges to her Macy’s card for designer bags and items she had not purchased, according to a federal complaint against Rivera. Clark learned the purchases were shipped to Rivera’s address. That led her to go to police.

Clark said that she and her son had difficulties monitoring activities due to disabilities. Marzo has Asperger’s syndrome, a high-functioning form of autism; and his mother has severe dyslexia.

Marzo filed a lawsuit against Rivera in U.S. Bankruptcy Court.

The FBI investigated the case, which was prosecuted by Assistant U.S. Attorney Ken Sorenson.

NEWSLETTER

Today's breaking news and more in your inbox

I'm interested in (please check all that apply)
Are you a paying subscriber to the newspaper?
     
Support Local Journalism on Maui

Only $99/year

Subscribe Today