We’ve all used a company credit card to expense something we know we shouldn’t have. Usually, it’s small things—a lunch here, a dinner there, things that easily get lost in the end of year accounting. $5.8 million in company expenses are a little harder to hide in the shuffle of papers. That’s how much a former pharmaceutical exec racked up after his escort-turned girlfriend got hold of his company card.
Scott Kenedy was working for Nemera, a drug company based in France, back in 2012. Like many a corporate exec with more money than time, he decided to skip the whole dating scene and just use an online escort service. He logged in to Backpage.com and met Crystal Lundberg, an escort with very expensive taste.
How expensive? According to court documents obtained by the Chicago Tribune, her expenses ranged from $24,000 for moving herself and two kids from Illinois to San Diego, to a massive 6,500 sq ft mansion she purchased.
That’s not all. Documents also allege she spent over $600,000 on clothing, a million on vacations all over the world, and over $500,000 on starting her own business—a medical spa she called The Royalty Room.
How could anyone let this happen, you ask? Well, apparently it had everything to do with love.
“I wanted to be loved and cared for. My heart kind of overrid my head and said, 'Take a chance.' Well, it blew up in my face,” revealed Kenedy in an interview with the Tribune. "My mistake was trusting her. At this point, I have very little faith anything she told me ever was true."
Court documents filed by the FBI shed a bit more light on the situation. "At the time Individual B [Lundberg] was working as a professional escort, and Individual A [Kenedy] solicited her services approximately eight to ten times between approximately 2012 and May 2015."
It was in May of 2015 that Lundberg made her move. She texted Kenedy asking for financial help, which ended up with her entire family moving into Kenedy’s suburban home by November of that year. After that, the spending spree started and just didn’t stop. Over the next 16 months, the two spent $5.79 million on the company dime.
Kenedy admitted to FBI he knew her spending was out of control, but she threatened to sell her body online if he didn’t keep giving her the card.