Joshua S. Levy, U.S. Attorney | U.S. Attorney for the District of Massachusetts
An attorney from Lexington has been indicted for allegedly embezzling at least $2.5 million from three Massachusetts companies. David Smerling, 74, faces charges of wire fraud and money laundering following an indictment by a federal grand jury.
Smerling, who served as a bookkeeper for the companies, is accused of transferring funds to a bank account he controlled before moving the money to his personal accounts. The indictment claims that these activities took place between January 2016 and May 2020. It also alleges that Smerling concealed his actions by altering the mailing address on bank statements to his home and withholding online banking passwords.
The charges against Smerling include three counts of wire fraud and two counts of money laundering. Wire fraud carries a potential sentence of up to 20 years in prison, along with three years of supervised release and fines reaching $250,000 or twice the gross gain or loss involved. Money laundering could result in similar prison time, with fines up to $500,000 or double the transaction value.
United States Attorney Leah B. Foley and Jodi Cohen, Special Agent in Charge of the FBI's Boston Division, announced the indictment. Assistant U.S. Attorney Kristen A. Kearney is leading the prosecution.
"The details contained in the charging documents are allegations," noted officials. "The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law."
