Larceny by an employee in North Carolina is a serious criminal offense that can result in prison time and financial consequences. Whether you’re an employer suspecting theft or an employee facing charges, understanding the legal definition, implications, and potential defenses of larceny is crucial.
To that end, the following comprehensive guide unpacks everything you need to know about larceny by an employee in North Carolina.
What Is Larceny by Employee?
Larceny by employee, as outlined in North Carolina statute 14-74, is a distinct criminal offense separate from general larceny (whose violations are outlined in statute 14-72). In particular, the legal definition of larceny by an employee is when an employee deprives property initially entrusted to them by their employer. The unlawful taking of goods or money during employment can result in felony larceny charges.
The distinction between ordinary theft and larceny by employee in North Carolina is significant. Standard theft charges are categorized as either misdemeanor larceny or felony larceny, depending on the goods or money stolen and the cumulative value thereof. On the other hand, all offenses of larceny by employee in North Carolina are automatically categorized as felony-level criminal charges.
What Counts as Employee Theft?
Employee theft, as a category of crime, is incredibly broad. It includes any misappropriation of company property or funds, regardless of value. That means something as relatively “simple” as stealing office supplies or falsifying timesheets could potentially lead to criminal charges.
Felony vs. Misdemeanor Employee Theft
According to North Carolina larceny laws, theft of money or property that is valued at less than $1,000 is a Class 1 misdemeanor. Theft above that $1,000 threshold is a Class H felony, which is punishable by up to 39 months in prison.
Charges alleging theft of certain items or depriving people with whom the violator has specific relationships can also result in a Class H felony charge, regardless of the monetary value involved. Larceny by employee in North Carolina is, therefore, a prime example; stealing from an employer automatically constitutes a Class H felony.
If an employee is accused of depriving their employer of $100,000 or more in property, cash, or any combination thereof, they will be charged with a Class C felony, which is punishable by up to 231 months in prison.
There are no misdemeanor larceny charges for theft by an employee. While your attorney may be able to negotiate larceny charges down to a lower level (i.e., reduced from a Class C to a Class D felony), or in some circumstances your attorney may be able to negotiate an outcome that results in no criminal record at all, there is no guarantee that such an outcome will occur. With that in mind, any person who is accused of theft crimes against their employer should retain legal counsel as soon as possible.
Examples and Types of Workplace Theft
Examples of larceny in the workplace include the following:
- A cashier pocketing cash from a register
- An employee transferring company funds to their personal account
- A warehouse worker taking items home
- A manager issuing false refunds and keeping the money
- A receptionist using a company credit card for personal expenses
In each of these cases, the employee is alleged to have abused their access or authority to deprive their employer of cash or goods.
Common Misconceptions About Employee Theft
There are several myths surrounding employee theft that can mislead both employers and employees in North Carolina. Here are a few of them:
“It’s Not Theft If It’s Just Small Stuff”
North Carolina criminal law does not place a minimum value amount of stolen property when it comes to larceny by employee. Even if the property involved has a relatively minimal monetary value, an employee could still find themselves facing larceny allegations if they are accused of permanently depriving their employer of items of value.
Ultimately, it’s the intent that counts, not merely the dollar amount. Technically speaking, an assistant district attorney could bring a felony charge against an employee for theft, even if the item is worth a single dollar.
“If I Had Permission Once, I Can Keep Taking”
Using company assets outside approved purposes, even if permitted once before, can still qualify as theft. Suppose, for instance, that your boss allows you to use the company gas card to fill up your vehicle after you spend the day running business errands for them. That does not mean you can use the card to fill up your vehicle every week.
You must obtain your employer’s express permission each time you want to use company assets or resources for personal purposes. And if they say no, failing to respect that request can result in a criminal charge.
“It’s Just a Workplace Issue, Not a Criminal One”
Larceny by employee in North Carolina is a criminal charge that could result in serious jail time and a criminal record. It’s not merely a matter of internal discipline or a harsh email from HR; employees who are accused of permanently depriving their employers of money or property will almost certainly be fired and may face criminal prosecution.
Proving Intent in Workplace Theft
As alluded to earlier, one of the most important elements needed for a larceny conviction is intent. Prosecutors must demonstrate, beyond a reasonable doubt, that the employee took the property knowingly and with the intent to permanently deprive the employer.
The following forms of evidence may be used to prove intent and reinforce larceny charges:
- Surveillance footage
- Witness statements
- Irregular accounting records
- Electronic communications
- Confessions or inconsistent explanations
Without these, reasonable doubt could be established, which may allow employees to overcome larceny charges.
How Employers Detect and Investigate Larceny
Employers typically detect employee theft by observing irregularities and then investigating the matter further by way of:
- Financial audits
- Surveillance cameras
- Inventory tracking
- Whistleblower reports
Regardless of how an employer discovers felony larceny, the key from the employer’s perspective is obtaining strong evidence to identify the perpetrator. On the other hand, a criminal defense lawyer will work to defend their client by finding weaknesses in the evidence.
Business Impacts and Preventative Measures
Some collateral implications of larceny by an employee from the business owner’s perspective in North Carolina include the following:
- Financial losses
- Damage to workplace culture
- Diminished morale and trust
- Sullied brand reputation
Businesses may take steps to reduce the risk of felony larceny by team members in the following ways:
- Conducting background checks when hiring
- Installing surveillance systems
- Use redundancy for handling cash or inventory
- Training managers to recognize red flags
- Encouraging anonymous reporting
Businesses often have protocols in place to detect workplace theft, so there may be evidence available to the prosecution that the accused may not anticipate.
The Importance of Early Legal Representation
If you are being accused of stealing from your employer, you need to do two things: First, exercise your right to remain silent so that you can avoid inadvertently making any self-incriminating statements that can be used against you in a court of law. Second, find a reputable employee theft defense attorney in North Carolina to represent you.
Early representation from a defense attorney who handles larceny by employee cases can do the following for you:
- Protect your rights
- Ensure you know what not to say or do
- Begin building a strong defense strategy
- Potentially lead to lesser charges or diversion options
You need to partner with a reputable criminal defense lawyer as soon as you know you are facing a felony larceny allegation. And do not speak to anyone or answer any questions without them present.
Defenses Against Larceny Charges
Some potential criminal defenses against larceny allegations include things like:
A Lack of Intent
If a person mistakenly took property or legitimately believed they had permission to use it, a criminal defense attorney may focus on addressing the intent aspect of felony larceny. Disproving intent can unravel the entire case.
Insufficient Evidence
The prosecution must meet a high burden of proof. If the evidence is circumstantial or speculative, charges may not hold up.
Mistaken Identity
In some cases, employers may accuse the wrong person due to internal errors or false accusations. For instance, if the actual perpetrator used another employee’s login credentials to gain access to the company safe, an incorrect person may be accused.
Constitutional Violations
If law enforcement obtained evidence illegally or without a valid warrant, it may be suppressed in court. And if that evidence was key to the larceny charges, the charges could be dismissed altogether.
Employer Rights After Employee Theft
Employer rights after employee theft are as follows:
- Conducting internal investigations
- Terminating or suspending the employee
- Seeking restitution
- Filing a police report
While employers have the right to discipline or terminate an employee suspected of theft, they must still operate within the law. If an employer wrongfully defames an employee to damage their reputation, for instance, they could face civil liability.
Long-Term Consequences Beyond the Courtroom
A felony conviction for theft crimes against an employer can have lasting consequences, such as:
- Criminal penalties
- A loss of a professional license
- Difficulty finding employment
- Reputational damage
- Lasting impacts on personal relationships
North Carolina takes theft of personal property very seriously. Even a first offense can lead to a possible sentence of multiple years in prison, which is why anyone who is accused of these crimes should hire a criminal defense lawyer immediately.
Facing Penalties for Larceny by Employee? Contact Our Team
If you have been accused of violating criminal law in the state, a workplace theft charges lawyer in North Carolina can help protect you from the repercussions of larceny allegations made by your employer.
Hiltzheimer Law Office is an experienced criminal defense law firm in North Carolina. Our team has handled numerous cases involving felony larceny charges and is here to represent you when you need us most. Contact us to schedule a consultation with our team as soon as possible.
