Former Santa Cruz County treasurer sentenced after $38M embezzlement case | Local News

TUCSON, Ariz. (KVOA) – One of Arizona’s largest government embezzlement cases concluded as Elizabeth Gutfahr, the former Santa Cruz County treasurer, learned her sentence. Gutfahr pleaded guilty to stealing nearly $40 million from taxpayers.

Gutfahr will spend the next 10 years in prison after being sentenced to 10 years for embezzlement, 10 years for money laundering and five years for tax evasion. She will only serve a decade because the judge ruled the sentences will run concurrently.

Gutfahr entered the courtroom a free woman but was taken into custody by U.S. Marshals after the judge handed down the sentence.

The sentence exceeded the initial plea agreement guidelines. This decision came after the judge determined the case caused substantial harm, enhancing the charge.

Prosecutors had actually objected to the enhanced charge because much of the damages have yet to materialize, but the judge disagreed.

The judge described the crime as unprecedented in its impact on Santa Cruz County’s budget. Over a decade, Gutfahr executed more than 180 fraudulent wire transfers, embezzling over $38 million fromthe County mostly impacting schools and fire districts.

The judge could not understand Gutfahr’s motives, while her attorney attributed her actions to depression and dreams of grandeur the judge said Gutfahr had no explainable need for the ill gotten gains.

Bonnie Titre, a Santa Cruz County resident, attended the sentencing.

“The judge said it perfectly: her grandchildren, which she had cried about, they had a beautiful play area. But the children in Santa Cruz County are out there playing in the sun. Look at the schools, I mean, what she’s done… not only to the taxpayers but to the taxpayers children. This is going to go on like this for decades,” said Titre.

Gutfahr is ordered to make restitution of more than $38 million to Santa Cruz County, a more detailed restitution report will be developed in 60 days.

Gutfahr will have to have three years of supervised release following her prison sentence. 

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