The former head of payroll at the Nassau University Medical Center was indicted last week for allegedly embezzling more than $121,000 from the hospital, according to the Nassau County district attorney’s office.
Arlena Mann, 46, faces up to 5 to 15 years in prison if convicted of the second-degree grand larceny charges and six counts of falsifying business records in the first degree she faces, District Attorney Anne Donnelly said. Officials said Mann, a Bay Shore resident, allegedly used the hospital’s payroll software to pay former hospital employees who had “recently separated from the organization.”
Once the payments were arranged to the former employees, officials said, Mann allegedly used the hospital’s bookkeeping software to void them but create the appearance that the payments were not processed and that funds were not transferred. Mann also allegedly altered the former employees’ associated banking information to different accounts she controlled, according to officials.
Officials said Mann allegedly conducted more than 50 transfers involving more than 50 former employees between March 2019 and July 2021, while employed as the hospital’s payroll director. Donnelly said the alleged theft, the investigation of which did not reportedly involve any money due to former employees, was discovered last year and Mann was fired in July.
“This defendant allegedly used her access to key bookkeeping and payroll software to bilk the cash-strapped public hospital out of more than $120,000,” Donnelly said in a statement. “These are funds NUMC sorely needs to provide adequate services and patient care to Nassau County residents. Employees of public institutions like NUMC have a duty to perform their jobs with integrity because residents depend on it.”
“This was an unfortunate incident by one former employee,” Megan Ryan, the hospital’s general counsel, said in a statement. “We are pleased to work with the Nassau County District Attorney’s office to protect taxpayers’ money.”
Officials said Mann is scheduled to return to court on April 25. Efforts to reach her lawyer, David Ayres, for comment were unavailing.
