On September 5, 2018 the Santa Clara County Sheriff’s Office arrested former City of Cupertino employee Jennifer “Yuen-Cheng” Chang, Senior Accountant, for her alleged role in the embezzlement of public funds. It is believed that Ms. Chang issued and cashed numerous fraudulent checks between 2000 and 2014 for a total of $791,494.
The Santa Clara County Sheriff’s Office submitted its case to the Santa Clara County District Attorney’s Office for the issuance of a warrant for Ms. Chang. The Santa Clara County District Attorney’s Office has brought forward 68 criminal charges against Ms. Chang. The City of Cupertino will seek full restitution from Ms. Chang through upcoming criminal and civil proceedings.
The alleged scheme ended in September 2014 right before the implementation of an upgraded financial system in December 2014 that tightened internal controls. Ms. Chang, who was hired by the City in 1997, retired in July 2015.
The checks were uncovered earlier this year by staff during a multi-year, detailed review of several accounts—including payroll, bank reconciliations, and deposits—which began after the implementation of the new financial system. The checks were found debited against a liability account and deemed suspicious due to their nature, size, and lack of supporting documentation.
This page will be updated periodically with information and documents pertaining to the fraud.