Microsoft Says Employee Took it for $450K

SEATTLE (CN) - Microsoft claims a former employee bilked it of more than $450,000 by creating a fake company called Blu Games and submitting phony invoices for its nonexistent services. Microsoft claims Robert D. Curry formed Blu Games to "further the fraudulent scheme," and claimed that his company distributed the Bing toolbar for Microsoft.

Third-party vendors then paid Blu Games for nonexistent services and were reimbursed by Microsoft, according to the complaint in King County Court.

"On at least 3 occasions between April 19, 2010 and November 22, 2010, defendant Robert D. Curry ('Curry'), a Microsoft employee, fraudulently induced Microsoft to pay through a vendor approximately $459,341.63 for defendant Curry's benefit, while falsely representing that the payments were for legitimate Microsoft business expenses," according to the complaint. "Defendant Curry further attempted unsuccessfully to defraud Microsoft of an additional $1,453,205 through similar means but was thwarted when his scheme was discovered.

"Microsoft maintains extensive controls to prevent and detect the theft or other misuse of its assets. Defendant Curry sought to circumvent those controls and to take advantage of his position of trust as an employee of Microsoft by, among other things, lying to his Microsoft manager, other colleagues at Microsoft, and a Microsoft vendor; creating false and forged documents; and creating defendant Blu Games, LLC ('Blu Games') while concealing his ownership of Blu Games and lying about its purported business and ownership-all for the purpose of enriching defendant Curry," the complaint states.

Curry was a director of business development and helped manage the distribution of Microsoft's Bing toolbar, according to the complaint.

Microsoft wants the money it paid for the fake invoices and treble damages under the Washington Criminal Profiteering Act. It is represented by David Taylor with Perkins Coie.

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