Stricter penalty for embezzlement and laundering of own proceeds

A temporary employee embezzled around NOK 75 million from a bank in Trøndelag through several transfers. In excess of NOK 65 million of the proceeds was invested in securities and other financial instruments, causing the bank a loss of about NOK 51 million. The perpetrator was convicted in the Court of Appeal of aggravated embezzlement, aggravated money laundering and document forgery, and sentenced to three years and six months of imprisonment.

The Supreme Court increased the sentence to four years of imprisonment. The penalty level for the aggravated embezzlement was set at four years and six months, while another six months was added for the laundering of the proceeds from the embezzlement – the “self-laundering”. A deduction of one year was granted for confession and rehabilitation.

The Supreme Court considered the sentencing when the conviction concerns both the offence that has yielded the proceeds – the “primary offence” – and the self-laundering. In such cases, it is not natural assess the penalty level for self-laundering in isolation. Instead, an addition must be made that reflects the increased punishability of the self-laundering. The factors that justified the criminalisation of self-laundering then had to be central to the assessment.

The judgment gives guidance on sentencing for aggravated embezzlement and aggravated money laundering.

Read the judgment from the Supreme Court (Norwegian only) (PDF)

Area of law: Strafferett, straffutmåling. Straffeloven §§ 79, 325 og 338.

Key paragraphs: 20-22, 35, 38-39, 43

Justices: Øie, Bergsjø, Høgetveit Berg, Hellerslia, Sivertsen