Paul R. Steed, a former high-ranking executive at Mars Inc., has been indicted on federal charges for allegedly embezzling more than $28 million from the company through a years-long web of fraudulent schemes. Steed, 58, of Stamford, Connecticut, was a key figure in the company’s operations under USDA’s Sugar-Containing Products Re-Export Program. According to the U.S. Attorney’s office, Steed was employed by Mars Wrigley, a subsidiary of Mars. Inc. (“Mars”), working remotely from his home in Stamford. It said Steed served as Global Price Risk Manager for Mars Wrigley’s Global Cocoa Enterprise. Link for details.
Key allegations:
- Fake entities & redirected payments: In 2016, Steed created MCNA LLC to impersonate Mars Chocolate North America, rerouting payments from sugar refineries into the shell company’s account.
- Dividend & stock fraud: Steed allegedly diverted $700,000 in ICE dividend payments to MCNA LLC and later used a forged authorization letter in 2023 to sell Mars’s ICE stock for $11.3 million — funds he funneled into the same fake entity.
- Fictitious invoices: Using another entity, Ibera LLC, Steed billed Mars for nearly $580,000 in services that were never rendered between 2013 and 2020.
- Personal gain & foreign transfers: Authorities say he transferred $2 million to Argentina — where he has dual citizenship and family — and spent $2.3 million on a luxury home in Greenwich, CT.
Legal fallout
- Charges filed: Steed faces seven counts of wire fraud and two counts of tax evasion.
- Arrest & custody: He was arrested on March 26 and pleaded not guilty. Due to his dual nationality and ties to Argentina, he is being held in custody as a potential flight risk.
Ongoing investigation. The FBI, IRS Criminal Investigation, USDA Inspector General, and U.S. Marshals are leading the probe. While over $18 million in assets have been seized, authorities are still pursuing further forfeitures.
Acting U.S. Attorney Leonard C. Boyle reminded the public that Steed is presumed innocent until proven guilty. Prosecutor David E. Novick is leading the case for the U.S. government.
While the indictment doesn’t detail exactly how Paul R. Steed was first discovered, there are a few likely triggers based on how these white-collar cases typically unfold:
- Internal audit red flags: Mars Inc. may have noticed financial discrepancies, such as missing dividends, unauthorized transfers, or unusual vendor payments tied to shell companies like MCNA LLC and Ibera LLC.
- SEC or ICE alerts: The unauthorized sale of Intercontinental Exchange (ICE) shares using a forged letter in 2023 might have triggered scrutiny from ICE itself or the U.S. Securities and Exchange Commission (SEC), especially if Mars flagged the unauthorized divestment.
- Tax irregularities: The two counts of tax evasion suggest the IRS may have noticed discrepancies in filings that didn’t match his income sources or reported asset transfers (like the $2 million to Argentina).
- Real estate purchases: Buying a $2.3 million home in Greenwich with illicit funds may have raised red flags, especially if the funding source didn’t match his known income. Real estate transactions are often a key way financial crimes get exposed.
- Whistleblower or tip-off: It’s also possible someone internally — maybe a co-worker or external partner — noticed something off and alerted company leadership or authorities.
Once suspicions arose, a multi-agency investigation was launched (FBI, IRS, USDA OIG, U.S. Marshals), eventually leading to his arrest and indictment in March 2025.