A former executive of an Irvine-based court services firm was sentenced Monday to 37 months in federal prison for embezzling more than $3 million from his employer.
Steven A. Hagstrom, 38, of Anaheim, was also ordered by U.S. District Judge David O. Carter to pay $2,127,932 in restitution.
Prosecutors argued for a 46-month sentence for Hagstrom, who pleaded guilty last June 3.
Carter lessened Hagstrom’s punishment because he did not resist attempts by authorities to claim $1.2 million in accounts that were frozen after his arrest, according to Assistant U.S. Attorney Lawrence Kole.
Hagstrom’s attorney also pointed out the defendant had a gambling problem that he has taken steps to address, and had a troubled childhood. Hagstrom was using the money to subsidize his gambling addictions, his attorney said.
Hagstrom was an accountant and later the controller of Sentinel Offender Services LLC so he had access to court fees and restitution payments from criminal defendants that were deposited in accounts the company managed.
Beginning in 2012 and through April 2013, Hagstrom embezzled about $3.38 million from Sentinel.
— City News Service