A former Wal-Mart Stores Inc. vice chairman who was a protege of founder Sam Walton pleaded guilty to fraud and tax charges Tuesday, admitting that he stole money, gift cards and merchandise from the world's largest retailer.
Tom Coughlin, 57, pleaded guilty to five counts of wire fraud and one count of filing a false tax return. The charges carry a maximum penalty of 28 years in prison and a $1.35 million penalty, but prosecutors have likely recommended a reduced sentence as part of a plea bargain.
The judge ordered a presentencing report that will take up to four months to prepare.
Wal-Mart lawyers referred Coughlin to federal prosecutors after discovering Coughlin had embezzled money from the company and used expense vouchers to buy products as varied as snakeskin boots, hunting trips and Bloody Mary mix. They estimated losses at up to $500,000.
In federal court, Coughlin spoke only when he was asked questions by U.S. District Judge Robert Dawson. Afterward, defense lawyers issued a statement in which Coughlin accepted responsibility for "serious personal mistakes in judgment."