Santa Cruz County Targets Ex-Treasurer in $39 Million Embezzlement Scandal

The county is suing its former treasurer in an effort to recover a large amount of funds that were allegedly stolen.

SANTA CRUZ COUNTY, Ariz. — Santa Cruz County has taken legal action against its former treasurer, Elizabeth Gutfahr, accusing her of embezzling over $39 million from the county.

In a statement released on Friday, county supervisors announced the lawsuit was filed in Pima County as an effort to recover the significant funds allegedly misappropriated. The supervisors emphasized that they are working with experienced legal and forensic accounting professionals to conduct a thorough internal review and a complete forensic financial investigation of the accounts managed by the former treasurer.

The embezzlement concerns were prompted by the discovery of 11 fraudulent transactions totaling $375,000 in April. This discovery led to an FBI investigation. On April 12, Gutfahr resigned from her role as treasurer, citing health and personal reasons as her cause for stepping down.

Despite the financial turmoil, county officials have reassured the public that they are striving to prevent any disruption to the daily operations of the entities relying on county funding. They are committed to mitigating the impact of the alleged embezzlement on local services.