Vermont ex-worker released after not guilty plea

MONTPELIER, Vt. (AP) - A former Vermont state worker pleaded not guilty Monday to charges that she embezzled more than $50,000 while working as a claims examiner and that she used some of the money to buy a boat, a vehicle, firearms and other merchandise.

Lisa Peduzzi, of Plainfield, 51, appeared in court in Burlington on six felony charges. She was allowed to go free on certain conditions, pending the outcome of the case. A conviction on each charge carries a maximum prison term of 10 years.

Peduzzi had no comment as she left the courtroom, the Burlington Free Press reported. The Washington County public defender’s office, which said a lawyer hasn’t yet been assigned to her case, also had no comment.

Peduzzi began work for the state in 2006; her job entailed paying claims on behalf of Vermont. She resigned amid the investigation.

Gov. Peter Shumlin and other top officials announced Friday that Peduzzi had been arrested at her home. The state has since changed its procedures and now requires two signatures on all checks.

Authorities began investigating after Peduzzi allegedly tried to use a state check to buy a guitar from a Michigan man, and he became suspicious and contacted state officials. Authorities say that during the investigation, Peduzzi made incriminating statements and also told investigators she was three months behind on her mortgage and under the threat of foreclosure.

“She told me that she deserves whatever she gets and that she will pay back the state, even if it takes until she is 90,” state police Detective Lt. Tom Hango said in an affidavit.

She also told police she hoped the state would use its insurance policy for employee dishonesty to cover the losses.

“She indicated that they should (because) she paid the premium a month ago,” the affidavit said.

The affidavit by Hango and others alleges that Peduzzi created false claims against the state then used the payments for her own purposes. Separate affidavits say that in some instances, Peduzzi indicated the checks were from her state retirement account. She allegedly used almost $2,700 to buy firearms from an Indiana company after police say she made a false claim for front tires and a rim damaged by a failed bridge joint.