A Stamford resident, Paul R. Steed, 58, pleaded guilty in federal court to fraud and tax charges related to the theft of more than $28 million from his former employer, Mars, Inc. The plea was entered before U.S. District Judge Kari A. Dooley in Bridgeport.
According to court documents and statements made during the proceedings, Steed worked for Mars Wrigley, a subsidiary of Mars, Inc., from approximately 2011 to 2023 while based in Stamford. His last position at the company was Global Price Risk Manager for Mars Wrigley’s Global Cocoa Enterprise. Part of his responsibilities included managing the company's participation in the U.S. Department of Agriculture Sugar-Containing Products Re-Export Program.
Authorities stated that in 2016 Steed created MCNA LLC, a company designed to resemble an actual Mars entity called Mars Chocolate North America. He then redirected over $15 million from Mars by instructing sugar refineries involved with the USDA program to pay MCNA LLC as if it were a legitimate part of Mars.
Mars also held an ownership interest in Intercontinental Exchange, Inc. (ICE), receiving quarterly dividends through this investment. In 2017, Steed directed Computershare Limited—ICE’s stock service provider—to pay MCNA LLC instead of Mars for dividend payments totaling more than $700,000. In 2023 he used a fraudulent letter allegedly from the Mars Treasurer authorizing him to trade ICE shares and instructed Computershare to sell all of Mars’s ICE shares; this resulted in a check exceeding $11.3 million being deposited into MCNA LLC's account.
Additionally, between 2013 and 2020 Steed used another company he owned—Ibera LLC—to invoice Mars for services never rendered; this scheme led to payments exceeding $700,000.
Steed did not report or pay taxes on these illicit gains on his federal tax returns filed between 2014 and 2023.
"David X. Sullivan, United States Attorney for the District of Connecticut, announced that PAUL R. STEED, 58, of Stamford, pleaded guilty today before U.S. District Judge Kari A. Dooley in Bridgeport to fraud and tax offenses stemming from his commission of multiple frauds against his former employer Mars, Inc."
Steed admitted guilt on two counts of wire fraud—each carrying up to twenty years imprisonment—and one count of tax evasion—which carries up to five years imprisonment.
He has agreed to repay $28,410,489 in restitution to Mars and owes an additional $10,310,680 in back taxes according to government calculations.
Authorities have seized over $18 million from accounts controlled by Steed and are seeking forfeiture or liquidation for restitution purposes on a Greenwich home allegedly purchased with nearly $2.3 million in stolen funds; they also allege that about $2 million was transferred by Steed to Argentina where he holds dual citizenship and owns property.
Steed was arrested March 26 and is currently free on a $5 million bond pending sentencing scheduled for December 9.
The investigation involves the Federal Bureau of Investigation (FBI), Internal Revenue Service – Criminal Investigation Division (IRS-CI), U.S. Department of Agriculture – Office of Inspector General (USDA-OIG), with support from the U.S. Marshals Service; Assistant U.S. Attorney David E. Novick is prosecuting the case.
