### Former Santa Cruz County Treasurer Pleads Guilty to Embezzlement, Faces Prison Time

In a significant legal development, Elizabeth Gutfahr, a former Santa Cruz County treasurer, admitted to multiple charges including embezzlement by a public official, money laundering, and tax evasion. The charges stem from her theft of over $38 million in county funds between 2012 and 2024. Gutfahr used these ill-gotten gains to finance extensive renovations on her ranches, purchase at least 20 vehicles, and cover various personal expenses for herself and her family.

Gutfahr held the position of Santa Cruz County treasurer from 2014 until April 2024. Court documents reveal that during her tenure, Gutfahr transferred county funds into her personal accounts at Wells Fargo Bank and the Bank of Montreal. "I wire transferred the Santa Cruz County funds from the County's Savings Account and Checking Account for the purpose and as an essential part of carrying out the scheme to defraud to fraudulently obtain the funds for my personal use, all without authorization," Gutfahr admitted.

To disguise these illegal transactions, Gutfahr created fake business accounts that masked the true destination of the county's money. "These account names were materially false and fraudulent representations to intentionally conceal the fact that I was wire transferring Santa Cruz County funds to my Wells Fargo and BMO Accounts to embezzle the County's funds," the former treasurer explained in her plea agreement.

Gutfahr's attorney, Joshua Hamilton, stated that she is committed to taking responsibility for her actions. "She knows that by pleading guilty, and accepting the punishment she will face as a result, she is taking a step in the right direction to be accountable for her actions," Hamilton remarked. "She will work to remain on that path for the rest of her life."

This guilty plea underscores the Justice Department's dedication to eradicating corruption within government institutions. "We expect public officials to serve as stewards of the government... not to loot it," said Principal Deputy Assistant Attorney General Nicole Argentieri.

Gutfahr has been released for the time being but was required to surrender her passport. Her sentencing is set for February 6, 2025, and she faces a potential prison sentence of up to 35 years. Additionally, she will be responsible for paying restitution to Santa Cruz County and $13,143,526 in federal taxes for the years 2014 through 2023.