McCauley Pleads Guilty, Sentenced to State Prison in Connection with Embezzling Millions of Dollars From Dane Cook
Erika McCauley, age 37, pled guilty today in Middlesex Superior Court to charges of Larceny over $250 (2 counts) and Conspiracy to Commit Larceny. After the plea was entered, Superior Court Judge Mary-Lou Rup sentenced McCauley to serve two and a half years to three years in State Prison, to run concurrent with a probationary period of 13 years. While on probation, Judge Rup ordered that McCauley pay restitution to the victim and submit to financial monitoring by the Department of Probation. She was ordered to relinquish all interest in several properties and business ventures in Maine and Massachusetts that were obtained using the stolen funds.
On October 13, 2010, Erika's husband, Darryl McCauley, age 45, pled guilty in connection with this case. Darryl pled guilty to charges of Larceny over $250 (27 counts), Forgery (3 counts), Embezzlement by a Fiduciary, Uttering and Conspiracy. Darryl McCauley was to serve five to six years in State Prison, with a concurrent probationary period of six years. After the completion of his State Prison sentence, Darryl will have to serve another 10 years of probation. As conditions of his probation, Darryl has been ordered to pay restitution to the victim and submit to financial monitoring by the Department of Probation. He was ordered to relinquish all interest in several properties and business ventures in Maine and Massachusetts that were obtained using the stolen funds.
In December 2008, the Attorney General's Office began an investigation after the matter had been referred by Cook and his lawyer. Darryl McCauley was Cook's half-brother and he used this relationship to profit from Cook's earnings. McCauley was the business manager for Cook from the early 1990's until early December 2008. As the book keeper, McCauley was responsible for the management of his client's financial affairs, including the receipt and payment of bills; the receipt, deposit, and management of Cook's income and revenue from various business ventures in which his former client controlled. Investigators discovered that during the period of 2004-2008, McCauley stole millions of dollars from Cook's business and personal accounts by transferring those funds to his own personal accounts. Erika McCauley helped her husband steal millions of dollars from Cook's business accounts and used those funds for her own personal use. Investigators discovered that Erika used the funds to buy hundreds of thousands of dollars worth of jewelry for herself. Erika also orchestrated several investments using the stolen funds including: buying and operating two clothing boutiques in York, Maine, purchasing several condominiums in Maine, and investing in several restaurants in Maine and Florida.
On June 25, 2009, Erika McCauley was arrested at her home and arraigned in Woburn District Court. At her arraignment she entered a plea of not guilty and was ordered held on $1 million bail.
A Middlesex Grand Jury returned indictments against Erika McCauley on November 12, 2009. A Middlesex Grand Jury returned a second set of indictments against Darryl and Erika McCauley in March 2010, and both were arraigned on those additional charges in Middlesex Superior Court. On October 13, 2010, Darryl McCauley pled guilty to all charges and was sentenced. Today, Erika McCauley pled guilty and was sentenced
The case was prosecuted by Assistant Attorney General Eileen O'Brien, Chief Trial Counsel in AG Coakley's Criminal Bureau, and Assistant Attorney General Anne Kaczmarek, also of AG Coakley's Criminal Bureau. It was investigated by Financial Investigator Paul Stewart and the Massachusetts State Police assigned to the Attorney General's Office.