Cisco Accountants Plead Guilty to Massive Share Scam

Two former accountants with Cisco Systems have admitted to stealing more than $5 million in company shares by hacking into the company computer systems.

Geoffrey Osowski and Wilson Tang both pleaded guilty to charges of computer fraud in a plea bargain that will mean they have to serve nearly three years in prison. Sentencing is due to take place in November.

Mr. Osowski was a financial analyst with Cisco and Mr. Tang an accounting manager until they were fired in March after the FBI was called in to investigate irregularities in the trading accounts. In April a federal grand jury indicted them for the share swindle. The grand jury alleged that the two gained access to internal share administration systems and transferred 100,000 shares to their own account. They transferred another 100,000 shares to other brokerage accounts.

Mr. Osowski and Mr. Tang sold nearly $5 million in stock and used the proceeds to buy jewelry and a Mercedes car. The government seized approximately $5 million,but the two are likely to have to pay back up to $200,000 each, depending on how much more money the government is able to recover.

Upcoming CPE Webinars

Apr 22
Is everyone at your organization meeting your client service expectations? Let client service expert, Kristen Rampe, CPA help you establish a reputation of top-tier service in every facet of your firm during this one hour webinar.
Apr 24
In this session Excel expert David Ringstrom, CPA introduces you to a powerful but underutilized macro feature in Excel.
Apr 25
This material focuses on the principles of accounting for non-profit organizations' revenues. It will include discussions of revenue recognition for cash and non-cash contributions as well as other revenues commonly received by non-profit organizations.
Apr 30
During the second session of a four-part series on Individual Leadership, the focus will be on time management- a critical success factor for effective leadership. Each person has 24 hours of time to spend each day; the key is making wise investments and knowing what investments yield the greatest return.