Michigan funeral home director sentenced for stealing from prepaid funerals, insurance policies

HURON COUNTY, Mich. (FOX 2) - A former funeral director in Michigan is now behind bars after authorities say he embezzled more than $1 million from funds paid for prepaid funerals and insurance policies.

According to Michigan Attorney General Dana Nessel's office, Terry Alvin Kaufman, 72, of Bad Axe, collected money through the Huron County Public Guardian and people who were pre-paying for funerals, but he did not escrow this money and instead stole it.

In total, authorities say Kaufman embezzled $1,111,165, money he used to pay his own salary over 10 years.

Kaufman was sentenced to just under two years to up to 20 years in prison after pleading no contest to one count of conducting a criminal enterprise, two counts of embezzlement by an agent - $20,000 or more but less than $50,000, five counts of embezzlement by an agent - $1,000 or more but less than $20,000, and 31 counts of conversion of funeral contracts. 

What they're saying:

"I am proud of the prosecutors in my office and the Department of Licensing and Regulatory Affairs for securing this sentence and restitution for the hundreds of Michigan families impacted by this embezzlement scheme," Nessel said. "When residents are prepaying for funeral arrangements, they shouldn’t have to worry about their hard-earned money being stolen. We remain committed to pursuing and prosecuting those who exploit Michiganders."

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