A Citrus Heights bookkeeper has been indicted by a federal grand jury for allegedly embezzling more than $1.7 million from her employer over a five-year period and not paying income taxes on the loot.
Kathe Rascher, 53, is charged in 12 counts of mail fraud and five counts of tax evasion. She was arrested this morning and is scheduled to be arraigned this afternoon before U. S. Magistrate Judge Kendall J. Newman.
According to the indictment, Rascher systematically drained the funds of River Valley Insurance Associates Inc. by writing checks to herself and her family members on the company's bank account and, due to her position as bookkeeper, was able to cover her tracks by altering internal records and creating fictitious invoices.
The indictment also accuses Rascher of evading federal income taxes on the stolen money for the years 2004 through 2008.