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Former Buffalo Grove executive, escort indicted on wire fraud charges

A Buffalo Grove-based company's former financial controller and his ex-escort girlfriend have been indicted on numerous wire fraud charges that federal prosecutors claim bilked the company out of nearly $5.8 million over 16 months.

According to court records released Wednesday, Scott Kennedy, 43, is slated for arraignment Tuesday and an arrest warrant has been issued for Crystal Lundberg, 31.

The pair are charged with using a credit card issued to Kennedy by his former employer to purchase an array of personal items including jewelry, vehicles and electronics and to cover various housing, travel and even cosmetic surgery costs.

According to a search warrant unsealed earlier this summer, Kennedy hired Lundberg as an escort in 2012, but the two eventually became a couple and moved in together, along with Lundberg's children, in 2015.

Kennedy was a financial official at Nemera, a company that designs and manufactures drug-delivery devices based in Buffalo Grove. Company officials said Kennedy was fired after the illicit spending was uncovered.

In November 2015, the couple began making illegal purchases with a company credit card, according to the indictment. Kennedy falsified reports to conceal the charges from his superiors, prosecutors said.

Prosecutors said FBI agents tallied the spending spree and determined nearly $1 million was spent on travel and transportation to places like Bali, France, Costa Rica, Hawaii, Bora Bora and Fiji. Two purebred dogs with a combined cost of between $5,000 and $6,000 were also purchased. The card was also used to pay for therapy sessions for one of Lundberg's children.

Additionally, investigators said the card was used to pay for more than $600,000 in clothing and accessories.

Ultimately, the couple used the card to purchase a home in San Diego for Lundberg and her children.

The indictment seeks restitution of $5,794,715 as well as the specific forfeiture of a Rolex "Everose Gold" watch.

The fraud charges outlined in the indictment specifically list a $20,000 expense on June 14, 2016, at the House of Diamonds in Ocho Rios, Jamaica; a July 25, 2016, charge of $12,422 to pay the lease on the San Diego property; two March 6, 2017, charges totaling $61,686 at Royal Maui Jewelers in Escondido, California, for Rolex watches; and an Oct. 19, 2016, charge of $12,767 from Amazon for the purchase of a Franz Sandner Grand Piano "for the personal use of defendant Lundberg's daughter."

According to recently unsealed court records, Kennedy told investigators he was expecting Lundberg to pay him back when she collected on a trust fund that she couldn't access until she was 30. However, investigators found no evidence that such a trust fund existed.

Attempts to reach Kennedy, Lundberg and their representatives were unsuccessful.

Report: Executive, escort under investigation for taking $5.8 million from company

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