Former County Treasurer Caught Red-Handed in Million-Dollar Embezzlement Scheme to Fund Arizona Property

SANTA CRUZ COUNTY, Ariz. — Elizabeth Gutfahr, the former treasurer of Santa Cruz County, has pleaded guilty to serious financial crimes including embezzlement, money laundering, and tax evasion. Over several years, she misappropriated more than $38 million in public funds.

Gutfahr’s plea came shortly after federal prosecutors leveled criminal charges against her. She admitted to illicitly transferring money from the county’s accounts and using it to fund her personal expenses, as outlined in her signed plea agreement.

According to prosecutors, she spent approximately $670,579 stolen from the county to acquire a $1.2-million property in Arizona. Furthermore, Gutfahr allegedly funneled an additional $757,000 to purchase a $2.7-million ranch just months later.

The charging document highlighted how Gutfahr employed fraudulent practices to obscure the purpose of her wire transfers, attempting to mask her theft over time. She also confessed to manipulating accounting records to disguise the county’s missing funds.

In her plea agreement, Gutfahr acknowledged her awareness that the county’s funds were vital for covering expenses related to schools and fire districts within the community. Having held the treasurer’s office since 2013, Gutfahr resigned earlier this year amid the growing investigation into the embezzlement claims.

In response to the situation, Santa Cruz County has initiated legal action against the state and auditor general to recover the stolen assets. Gutfahr agreed to repay over $38 million to the county as part of her restitution obligation.

Her attorney remarked, “Liz Gutfahr wants to take responsibility for the harm she has caused to Santa Cruz County.” The statement emphasized her desire for accountability and acknowledged her guilty plea as a pivotal step toward redemption.

Gutfahr is set to be sentenced on February 6, 2025, as the fallout from this embezzlement scandal continues to unfold.

RELATED: County suing Arizona over $39-million embezzlement scandal

RELATED: Audit: County treasurer went years undetected as she allegedly embezzled millions