Former bank CFO receives 33-month sentence for misusing bank funds for vacations and personal expenses

Dallas, Texas – A former Chief Financial Officer of a small-town bank has been sentenced to nearly three years in federal prison for embezzling more than $800,000, announced Leigha Simonton, U.S. Attorney for the Northern District of Texas. The sentencing marks the conclusion of a case involving the systematic misuse of bank funds for personal gain.

Details of the Crime and Sentencing

Vicki Lee Grisham, 52, previously served as the CFO of First State Bank of Abernathy, Texas. In July, she pleaded guilty to theft, embezzlement, or misapplication by a bank officer, a felony charge. On Thursday, U.S. District Judge James Wesley Hendrix sentenced her to 33 months in federal prison, five years of supervised release, and ordered her to pay $800,755.63 in restitution to the bank’s insurer.

Unauthorized Use of Bank Funds

Court documents reveal that Grisham was issued a credit card for bank-related purchases and was responsible for paying its invoices. However, she systematically used the card for personal expenses, including vacations, restaurant meals, clothing, college tuition, and even her personal income taxes. The unauthorized transactions went undetected for an extended period, and Grisham did not reimburse the bank for any of these charges.

The fraud came to light in March 2023, when the bank uncovered evidence of the unauthorized transactions. Upon being confronted, Grisham admitted to the embezzlement, signing a document acknowledging that she had used bank funds for her own and her family’s benefit.

Future Restrictions and Accountability

As part of her plea agreement, Grisham will also be subject to an FDIC Order of Prohibition, permanently barring her from future employment with or participation in any FDIC-insured financial institution. This ensures she cannot exploit similar positions of trust in the future.

Investigation and Prosecution

The Federal Bureau of Investigation’s Dallas Field Office led the investigation into the case. Assistant U.S. Attorney Ann Howey prosecuted, ensuring Grisham was held accountable for her actions.