After nearly two years of investigation, court filings and inquiries, an embezzlement case involving the former Finance Director for the City of South Haven has reached a conclusion. Former Finance Director Wendy Hochstedler’s investigation is now complete, pending sentencing.
That investigation was first launched late in 2018 when the city uncovered financial irregularities associated with the former city Finance Director.
In November of 2018, the South Haven Police contacted the Michigan State Police Fifth District Special Investigation Section in regard to financial irregularities associated with Hochstedler. The complaint was initiated when city personnel noticed a suspicious purchase on Hochstedler’s assigned city credit card, at which point it was brought to the attention of city auditors. The forensic audit revealed multiple other accounts had also been improperly maintained and utilized by Hochstedler and Daniel Beck, a member of her household. Hochstedler was fired from the city of South Haven in late November of 2018.
Case records show five credit cards assigned to former city of South Haven employees where kept open and fraudulently utilized by Hochstedler and Beck to make more than $130,000 in fraudulent purchases. Those purchases began in July of 2015 and continued until she was suspended in November of 2018. The two purchased many items over the four years including fast food, pet supplies, vehicle repairs, building materials, jewelry, and other household items.
After a thorough and complete inquiry of numerous financial documents, the case file and charge requests were turned over to the Van Buren County Prosecutor’s Office earlier this year in January 2020. Arrest warrants were authorized in February 2020. Late last month, in July of 2020, a plea agreement was reached with Wendy Hochstedler pleading guilty to Embezzlement -$100,000 or more and Daniel Beck pleading guilty to one count of illegal possession of a financial transaction device.
Hochstedler and Beck are scheduled to be sentenced on Monday, September 21, 2020.
