Legal Definitions - imbezzle

The term imbezzle is an archaic or old-fashioned word that means the same thing as embezzle. It refers to the act of fraudulently taking or converting property or money that has been entrusted to one's care, rather than outright stealing it. The key distinction is that the person committing embezzlement initially had lawful possession of the assets, often due to a position of trust or responsibility, but then misused or appropriated them for personal gain.

Here are some examples to illustrate the concept:

• Example 1: The Trusting Treasurer

  A volunteer treasurer for a local community sports league is responsible for managing the league's bank account, which holds registration fees and sponsorship money. Over several months, the treasurer subtly transfers small amounts from the league's account into their personal savings account, falsifying records to make it appear as if the money was spent on league supplies. This is an act of embezzlement (or "imbezzlement" in archaic terms) because the treasurer was entrusted with the league's funds but fraudulently converted them for personal use.

• Example 2: The Dishonest Inventory Manager

  A manager at a retail electronics store is responsible for overseeing the store's inventory and ensuring products are properly stocked and accounted for. The manager begins to regularly take high-value items, such as laptops and gaming consoles, from the stockroom without recording them as sold, and then sells them online through a third-party website, keeping the profits. This demonstrates embezzlement because the manager was entrusted with the company's inventory but fraudulently appropriated it for their own financial benefit.

• Example 3: The Fiduciary Fraud

  An attorney is appointed as the executor of a deceased client's estate, meaning they are legally entrusted with managing the assets and distributing them according to the will. Instead of paying legitimate debts and distributing inheritances, the attorney uses a significant portion of the estate's funds to pay off personal debts and purchase luxury items for themselves. This is a clear case of embezzlement, as the attorney held a position of trust (a fiduciary duty) over the estate's assets but fraudulently diverted them for personal gain.