Marilyn Machalowski, a former employee of the Lucile Packard Foundation for Children's Health, has been arrested by the Palo Alto Police Department and charged with embezzling more than $350,000 from the foundation, the Santa Clara County District Attorney's office announced.
Machalowski, 68, worked for the foundation from 1999 to 2007, when the suspected embezzlement took place. She faces a maximum of five years in state prison if convicted.
Police credit forensic auditors from Deloitte FAS for uncovering the suspected embezzlement after a thorough audit of the foundation's financial records.
Machalowski worked as an accountant and payroll/benefits manager for the foundation. She is suspected of wiring money from the foundation into a personal account as well as putting money toward her 401K retirement account. To conceal the embezzlement, Machalowski allegedly "recorded much lower dollar amounts in the check register" than what the foundation received, according to the district attorney's office.