Opinion ID: 2655572
Heading Depth: 3
Heading Rank: 1

Heading: Tanke’s Embezzlement

Text: Rafael Martin and his family operated two construction businesses, Azteca Construction Company and Construction Equipment Rental and Service (CERS). Defendant Thomas Tanke worked for Azteca between 1999 and 2004, serving as vice president of operations between 2000 and July 2004, with authority to approve or issue checks from Azteca accounts. He was not employed by CERS and had no authority to receive CERS income or pay CERS’s obligations. Tanke also maintained his own consulting business, Cedar Creek Associates. Over a 20-month period, Tanke embezzled more than $192,000 from Azteca and CERS. From November 2002 through February 2004, Tanke caused the issuance of 21 Azteca checks, totaling $74,762.82, for his personal expenses. The Azteca checks, most signed by Tanke, were paid to his creditors or businesses he patronized, including General Motors Acceptance Corporation (for an auto lease), Audi Financial Services (financing for an Audi A4 Quattro), Capital One Services (for a credit card), Household Credit Services and HSBC Card Services, Inc. (for a credit card), 1 Because Tanke challenges the sufficiency of the evidence, we recite the facts in the light most favorable to the government. See United States v. Flyer, 633 F.3d 911, 917 (9th Cir. 2011). UNITED STATES V. TANKE 5 Providian National Bank (for a credit card), Onyx Acceptance Corporation (financing for a BMW), Steve Larsen’s Wheel Works (a retail bicycle shop) and Kenny G. and Company (a jeweler). Tanke was never authorized to use Azteca checks to pay personal obligations or to pay these specific creditors or businesses. Tanke falsified records to conceal these payments. He used at least six false invoices to make it appear that the checks were issued for legitimate business expenses. For example, a false invoice from “Onyx Corporation,” ostensibly for “[p]igging of lines and testing of all pipe,” was actually a $10,027.92 payment for a BMW Z4. Tanke also falsified carbon copies of checks in Azteca’s check register on at least 10 occasions, also to conceal the true nature of the payments. For example, a check made payable to “Providian” (to pay Tanke’s personal Providian Visa card) contained no memo notation, whereas the carbon copy falsely stated that the check was paid to “Providian Products” and referenced “02420-0046-M,” an existing Azteca job number and cost code. Between February and July 2004, Tanke also diverted seven checks payable to CERS, Martin and Azteca, totaling $117,486.25, into his Cedar Creek bank account. The four checks payable to Martin and Azteca had a handwritten endorsement making the check payable to Cedar Creek, a forged signature and a printed endorsement making the check payable to Cedar Creek. The three checks payable to CERS had a printed endorsement making them payable to Cedar Creek. 6 UNITED STATES V. TANKE