MANHATTAN (CN) – The former head of human resources at Hitachi America is charged with defrauding the company’s health plan of $8 million. Federal prosecutors say Dennis M. Dowd opened an unauthorized bank account in 1997 and drained $8 million into it, including $4.9 million in payments for insurance claims, and another $2.9 million from insurers and health-care providers.
Dowd, 52, or Yorktown Heights, N.Y., was arrested Wednesday. He faces up to 30 years in prison if convicted of embezzlement, health care fraud and money laundering. Prosecutors say he spent at least $1 million on credit card purchases, $2 million in checks to himself, $625,000 on a house in Vero Beach, Fla., and $42,000 for a Lexus.