EMC testing engineer stole nearly $1M in duffel bag

The former employee pleaded guilty to charges on Thursday

A former EMC testing engineer has pleaded guilty to charges that he stole about US$930,000 worth of equipment from the company's Apex, North Carolina, plant.

Kevin Kelly pleaded guilty Thursday to charges of fraud, identity theft and transport of stolen property filed against him by the U.S. Department of Justice in Massachusetts. According to court filings, he sneaked the equipment out of his workplace in a small duffel bag and then sold it on the Internet, using the name of an unwitting associate, identified only as D.B. in court records.

Kelly sold most of the stolen gear to a Hanover, Massachusetts, reseller named BL Trading, prosecutors say. BL Trading has also been charged with sale and receipt of stolen property and wire fraud. That case is still pending. Reached Thursday, the company did not immediately have a comment for this story.

BL Trading is also accused of installing EMC firmware on equipment that was no longer under the required support contracts, and then putting those systems up for sale. In court filings, prosecutors say that the same BL Trading employee -- now deceased -- was responsible for both the firmware scam and the purchase of stolen hardware. "The employee knew or was willfully blind to the fact that Kelly had stolen his EMC equipment," court filings state.

Founded in 1988, BL Trading has more than 4,000 customers worldwide, and is a major parts reseller for EMC's midrange Clariion networked storage line,according to its website.

Kelly faces maximum penalties of 32 years in prison and a fine of close to $2 million on the charges. He has also agreed to pay back $929,891 to EMC. He is due to be sentenced on April 7. He worked at EMC between 2000 and 2009, prosecutors said.

In a related case, another EMC employee -- repair technician Mark Rothfuss -- has also been charged with stealing about $140,000 from EMC. "He did so through a variety of ruses, including requesting more equipment from EMC than he needed to perform a repair job and keeping the excess," prosecutors say in court filings.

Both Rothfuss and Kelly were charged by federal prosecutors last month.

Robert McMillan covers computer security and general technology breaking news for The IDG News Service. Follow Robert on Twitter at @bobmcmillan. Robert's e-mail address is robert_mcmillan@idg.com

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags legalstorageemcCriminalBL Trading

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Robert McMillan

IDG News Service
Show Comments

Cool Tech

Toys for Boys

Family Friendly

Stocking Stuffer

SmartLens - Clip on Phone Camera Lens Set of 3

Learn more >

Christmas Gift Guide

Click for more ›

Brand Post

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Aysha Strobbe

Microsoft Office 365/HP Spectre x360

Microsoft Office continues to make a student’s life that little bit easier by offering reliable, easy to use, time-saving functionality, while continuing to develop new features that further enhance what is already a formidable collection of applications

Michael Hargreaves

Microsoft Office 365/Dell XPS 15 2-in-1

I’d recommend a Dell XPS 15 2-in-1 and the new Windows 10 to anyone who needs to get serious work done (before you kick back on your couch with your favourite Netflix show.)

Maryellen Rose George

Brother PT-P750W

It’s useful for office tasks as well as pragmatic labelling of equipment and storage – just don’t get too excited and label everything in sight!

Cathy Giles

Brother MFC-L8900CDW

The Brother MFC-L8900CDW is an absolute stand out. I struggle to fault it.

Luke Hill

MSI GT75 TITAN

I need power and lots of it. As a Front End Web developer anything less just won’t cut it which is why the MSI GT75 is an outstanding laptop for me. It’s a sleek and futuristic looking, high quality, beast that has a touch of sci-fi flare about it.

Emily Tyson

MSI GE63 Raider

If you’re looking to invest in your next work horse laptop for work or home use, you can’t go wrong with the MSI GE63.

Featured Content

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?