Embezzling Fry's Exec Pleads Guilty

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    NEWSLETTERS

    TK
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    A former Fry's Electronics executive accused of embezzling millions of dollars to cover gambling losses has pleaded guilty to wire fraud and money laundering.

    Ausaf Siddiqui entered the pleas in February, but they were not unsealed until last week. Federal prosecutors agreed to drop seven other felony charges in exchange for the pleas.

    According to the San Jose Mercury News, Siddiqui has acknowledged embezzling millions of dollars from Fry's between 2004 and 2008 by forcing vendors to pay kickbacks to ensure their products were stocked on the company's shelves.

    He filed for bankruptcy in July, listing nearly $137 million in debt, including about $20 million owed to Las Vegas casinos. He is scheduled to be sentenced on Dec. 8 and could face up to six years in prison.