Bizarre Details About CEO Investigated By The FBI For Letting An Escort Spend $5.8 Million On His Company Credit Card

Photo: San Diego Tribune
Kennedy
Buzz

Yikes.

While there are many instances of beautiful women taking advantage of men with money, this particular one is very pricy. 

Scott Kennedy's kind heart, desire for a family — and his access to his company's finances — got him in trouble with the FBI. 

Together with his professional escort, the former financial executive of a Chicago drug device company ran up $5.8 million in unauthorized charges in just a year and a half. 

He first met Crystal Lundberg31, in 2012 on Backpage.com, a site that advertises sexual services. He purchased some of those services about eight to 10 times between 2012 and 2015. The pair would also text from time-to-time. 

 

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In 2015, Crystal texted Scott, 43, looking for some financial assistance. Somehow, that turned into a little more than borrowing cash because she, her two kids and their pets moved into his house in November. Around that time, the FBI believes Scott gave Crystal access to the company credit card after she needed help buying Christmas gifts for her kids. 

According to the FBI, some of the charges include $60,000 on two Rolex watches, $8,000 a month for a personal driver for her daughters $2,500 a month for a maid; $6,000 for two purebred dogs and $24,000 to move her potted plants from Illinois. Additional money was spent on plastic surgery, trips to Bali, France, Costa Rica, Hawaii, Santorini, Bora Bora and Fiji.

She also spent over $500,000 to start a spa, which she called the Royalty Room.

"I'm the only person who has to answer for being stupid," said Kennedy, who is said to be cooperating with the investigation and has no criminal history. He was fired in March by his company after they confirmed suspicions of improper financial activity. Company officials quickly turned Scott over to the FBI. 

 

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Though no criminal charges have been filed against either, they are both under investigation for fraud and money laundering. Scott said he was duped by Crystal because she knew how badly he wanted a family. 

"I wanted to be loved and cared for. My heart kind of overrid my head and said, 'Take a chance,'" he told the Tribune. "Well, it blew up in my face."

Though Crystal may have persuaded Scott to spend a lot of the money, he admitted to the FBI that he used the card to pay for travel and a hotel he stayed out while his company discovered the fraud. He also bought gift cards to pay for his expenses after Crystal maxed out his personal credit cards. 

He also said she told him that she would eventually pay him back with money she claims she has in a trust fund worth $4 million from a wealthy family who adopted her when she a child. 

The FBI has found no evidence of said trust fund. 

"My mistake was trusting her," Kennedy said in the interview. "At this point, I have very little faith anything she told me ever was true."

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