Facebook's Former Diversity Chief Used Fake Bills to Steal Millions; Here are Details of the Scam

Financial fraud has become a growing concern for major corporations across the globe, but it is only the latest of many scandals that have plagued Facebook, now known as Meta. An ex-global diversity strategist at the social media giant has now pled guilty to wire fraud after stealing more than $34 million from the social media giant. She did it to "fund a lavish lifestyle" in California and Georgia as per a Federal prosecutor. 

Barbara Furlow-Smiles, who had led various Facebook diversity, equity, as well as inclusion programs from 2017 to 2021, stole the money through fraudulent vendors, fake costs, and cash kickbacks. Smiles also made Facebook pay friends, relatives, former interns from a prior job, nannies, babysitters, a hair stylist, and her university tutor, for goods and services that were never really procured by the company.

How was the money diverted?

Smiles stole more than $4 million from Facebook by simply linking payment apps to her Facebook credit card and paying out charges to fake vendors. She would later submit the false expense reports and then have the vendors give her the cash or she would take it in her husband's account. Associates then paid cash kickbacks to her in person or via Federal Express and mail, which carried cash wrapped up in T-shirts.

A Meta spokesperson said that they are working with law enforcement on the case regarding the former employee, who reportedly linked Venmo, PayPal, and other cash apps to her Facebook credit card, using those accounts to pay friends and relatives.

What else did the prosecution say?

The prosecutors also added that Smiles used her position at the company to bring in vendors who were owned by friends and people she knew. The prosecutors also said that once the company signed off on onboarding them, she would inflate the expense reports to make extra money.

People who were involved in this scheme were all her relatives, friends, and former interns from a previous job, "nannies and babysitters," and even her college tutor.

Smiles was at a crucial position in the social media giant, which has previously been hit by controversies involving breach of privacy as well as data leaks that influenced election results. She was able to divert funds meant for campaigns to her associates by making fake purchases, which went unnoticed in the larger scheme of things.

She is now awaiting a sentence as the investigation into her scam is being led by The Federal Bureau of Investigation along with Meta, which is providing all necessary information and assistance.

Were her associates charged with fraud as well?

It's still unclear if her associates were also charged for the fraud. However, it's only a matter of time before that information is publicly revealed through the U.S. Attorney’s Public Affairs Office at USAGAN.PressEmails@usdoj.gov or (404) 581-6016.