Neiman Marcus Security Head Faces Prison for $130K Fraud Scheme
Washington DC November 12 2018
The head of security at the posh Neiman Marcus store in D.C. is facing prison time for fleecing the store of more than $130,000.
Alexander Gulino is scheduled to be sentenced in a D.C. court on Friday for a three-year scheme to pocket store money.
According to memos submitted by prosecutors, Gulino used his authority as head of security and supervisor of the Wisconsin Avenue NW store’s customer service department to create hundreds of fictitious returns. Prosecutors said Gulino gained access to Neiman Marcus computer systems to enter fraudulent returns and take cash from the registers for himself.
“[Gulino] used his status as loss prevention officer to access Neiman’s retail tracking computer system, which stores sales data for every item sold, returned or otherwise at any retail location in the United States,” according to prosecutors.
To execute his scheme, prosecutors said Gulino identified older purchases and those handled by salespeople who no longer worked for Neiman Marcus, assuming they would be less likely to get flagged. According to prosecutors’ memos, Gulino entered those purchases fraudulently into a store computer system, removed cash from store registers and shredded refund receipts to conceal the crimes.
According to court filings, Neiman Marcus uncovered Gulino’s scheme through “elaborate measures to catch
[Gulino] in the act,” including through the use of surveillance cameras to monitor Gulino’s movements in back offices, and through a “key stroke” device that recorded his computer usage.
Prosecutors are recommending a 10-month jail sentence and an order for Gulino to make $132,054 in restitution.
Gulino managed a staff of investigators and security personnel responsible for identifying thefts by customers and employees at the store, according to court filings.
An attorney for Gulino declined to comment. A Neiman Marcus spokeswoman did not immediately respond to an inquiry.
In a letter to the court, Gulino’s brother asked a judge to hand down a lenient sentence.
“My big brother is in trouble for some decisions that there is no question he wishes he had back. There are bad people and there are bad decisions. [He] is a great person that made a bad decision,” Nick Gulino’s letter said.
Neiman Marcus operates 42 stores nationwide. Its D.C. location operates amid a group of luxury stores in an exclusive section of the District. Neiman Marcus’ corporate profile said the chain offers a “best-in-class assortments of upscale apparel, accessories, jewelry, beauty and decorative home products.”
