Matt Spillane

mspillane@lohud.com

A Nanuet man has been sentenced to three months in prison for his role in a $2.6 million embezzlement scheme, officials said.

Eugene Fallon, 52, was sentenced Thursday in Manhattan federal court, U.S. Attorney Preet Bharara's office said. Fallon, whose prison term will be followed by three years of supervised release and a $100 special assessment, had pleaded guilty on Nov. 18 to one count of wire fraud.

James Shea, a resident of Paramus, New Jersey, also pleaded guilty to wire fraud in the case and was sentenced on March 31 to 18 months in prison.

ACCUSED: Fallon charged in embezzlement scam

The embezzlement scheme targeted a large international insurance company from January 2012 to December 2013, officials said. Australia-based QBE was the scamming victim, company spokeswoman Amanda Taylor said last year.

As executive vice president for the QBE's North American subsidiary, Shea oversaw the use of third-party consultants, including Fallon, who worked as a vendor for the company from 2010 through 2013, officials said.

In 2012, Shea forged the signature of the company's chief financial officer to funnel funds to consulting companies controlled by Fallon for technology integration work that was never performed, officials said.

Fallon then slid more than $1.8 million of that money back to Shea, who used the fraud proceeds to buy a multi-million dollar house and luxury vehicles, and kept the remainder for himself, officials said.

Twitter: @MattSpillane