Ex-Microsoft manager faces 20 years for doctoring expenses

Bilked Microsoft and other firms of $1 million in separate scams, say feds

A former Microsoft manager who acquired, registered and retired the company's Internet domain names was arrested Thursday and charged with stealing more than US$1 million from Microsoft, Expedia and a California company, federal prosecutors said.

Carolyn Gudmundson, 44, was indicted by a federal grand jury on 11 counts of wire fraud and seven counts of mail fraud. She faces up to 20 years in prison and fines of up to US$250,000 for bilking the three companies over a four-year period starting in 2000.

According to the indictment, Gudmundson, who was authorized to use a company credit card for domain name purchases, submitted expense reports to Microsoft accompanied by doctored receipts with inflated domain name prices. In some cases, she didn't provide receipts, but was still reimbursed by Microsoft for the amount she claimed in the expense reports.

Prosecutors also said Gudmundson had filed phony invoices with travel site Expedia.com for domain names that she had not paid for. She allegedly convinced a California domain-acquisition company, Marksman, that someone named GM Lossman was due money for the transfer of multiple domain names to Microsoft.

In the Expedia.com scam, Gudmundson took advantage of existing agreements between the travel site and Microsoft under which the latter had already paid for the domain names registered to Expedia. The Marksman swindle, said the indictment, was different: Gudmundson duped a manager there into sending the GM Lossman checks to her mother's mailing address, then cashed those checks.

Gudmundson was held in custody until a court appearance Friday afternoon, when she was released on her own recognizance. Arraignment is scheduled for December 13, where she will reportedly plead not guilty.

Join the newsletter!

Error: Please check your email address.
Rocket to Success - Your 10 Tips for Smarter ERP System Selection
Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Gregg Keizer

Computerworld
Show Comments

Cool Tech

SanDisk MicroSDXC™ for Nintendo® Switch™

Learn more >

Breitling Superocean Heritage Chronographe 44

Learn more >

Toys for Boys

Family Friendly

Panasonic 4K UHD Blu-Ray Player and Full HD Recorder with Netflix - UBT1GL-K

Learn more >

Stocking Stuffer

Razer DeathAdder Expert Ergonomic Gaming Mouse

Learn more >

Christmas Gift Guide

Click for more ›

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Edwina Hargreaves

WD My Cloud Home

I would recommend this device for families and small businesses who want one safe place to store all their important digital content and a way to easily share it with friends, family, business partners, or customers.

Walid Mikhael

Brother QL-820NWB Professional Label Printer

It’s easy to set up, it’s compact and quiet when printing and to top if off, the print quality is excellent. This is hands down the best printer I’ve used for printing labels.

Ben Ramsden

Sharp PN-40TC1 Huddle Board

Brainstorming, innovation, problem solving, and negotiation have all become much more productive and valuable if people can easily collaborate in real time with minimal friction.

Sarah Ieroianni

Brother QL-820NWB Professional Label Printer

The print quality also does not disappoint, it’s clear, bold, doesn’t smudge and the text is perfectly sized.

Ratchada Dunn

Sharp PN-40TC1 Huddle Board

The Huddle Board’s built in program; Sharp Touch Viewing software allows us to easily manipulate and edit our documents (jpegs and PDFs) all at the same time on the dashboard.

George Khoury

Sharp PN-40TC1 Huddle Board

The biggest perks for me would be that it comes with easy to use and comprehensive programs that make the collaboration process a whole lot more intuitive and organic

Featured Content

Product Launch Showcase

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?