A former accomplice at consulting company McKinsey & Co has been arrested on expenses that he engaged in a scheme to publish fraudulent invoices and prices to the employer and customers, consisting of country Farm, for greater than $890,000.
Navdeep Arora, who have been a senior associate in McKinsey’s Chicago workplace, changed into arrested on Sunday through the Federal Bureau of research after arriving in ny following a flight from London, according to court papers.
He changed into named in an indictment filed in federal court in Chicago along with a former inner kingdom Farm representative, Matthew Sorensen, who the indictment said participated inside the scheme.
His arrest was particular in papers filed on Monday in federal court docket in Brooklyn, new york, in advance of a hearing later within the day for Arora, fifty one, who joined KPMG in 2014 after leaving McKinsey and lived in London.
A spokesman for U.S. legal professional Zachary Fardon in Chicago showed Arora’s arrest. A court docket-appointed legal professional for Arora had no immediate comment.
It turned into doubtful if Sorensen, of Bloomington, Illinois, was additionally arrested. Sorensen, forty four, did no longer respond to requests for remark.
The indictment stated Arora oversaw services that McKinsey provided kingdom Farm, even as Sorensen assisted nation Farm in determining whether or not to rent outdoor consultants.
The indictment said that beginning in 2004, Arora fraudulently charged McKinsey and kingdom Farm for charges in order to reward Sorensen and an unnamed co-schemer for supporting McKinsey get country Farm consulting work.
Fraudulent invoices to McKinsey, state Farm and another McKinsey client for unperformed work ended in $490,975 in fees being paid, the majority of which Sorensen retained, the indictment said.
Arora also submitted fraudulent prices to McKinsey, nation Farm and other customers for domestic and international journeys for himself, Sorensen and others to cities such as Miami, Las Vegas, big apple, Prague and London, the indictment said.
In total, Arora acquired $400,000 in fraudulent costs, which also covered private hotel, meal and theater tickets in Chicago that he claimed were enterprise expenses, the indictment stated.
McKinsey spokeswoman Rachel furnish stated the company determined the state of affairs in 2011, notified the customer, “terminated the worker worried” and cooperated with authorities.
nation Farm spokesman Phil Supple said the insurer also cooperated with investigators. He said state Farm had no longer hired Sorensen in greater than 3 years and had now not had a contractual courting with McKinsey considering that April 2012.