Executive Assistant Pleads Guilty to $18 Million Embezzlement Scheme

Lizbeth Guadalupe Sherman, a 47-year-old executive assistant from El Dorado Hills, California, just admitted to a decade-long con. She stole nearly $18 million from her retired venture capitalist employer. The US Attorney's Office announced her guilty plea on Monday for one count of wire fraud. It’s a brazen theft that spans almost ten years, from September 2015 until she finally got caught.

Sherman’s job gave her the keys to the kingdom. She handled the victim’s credit card expenses, which meant she had full access to his bank accounts. Court documents describe how she created a "false pretense" of paying for his bills. In reality, she was quietly using that money to cover her own credit card purchases. The victim never knew a thing.

The numbers are staggering. She drained $13.7 million from one credit card and another $4.4 million from a second card at a different bank. That’s a total of nearly $18 million gone. And she didn’t hide it in a mattress. She lived it out.

Court records state she financed a lifestyle that included a $2 million house, exotic vacations, private jet travel, and millions spent on designer products. It was a lavish existence built entirely on stolen funds. At one point, she started flipping the luxury goods she bought. The US Attorney’s Office revealed she turned those items into cash by reselling them online. On just one platform, she made more than $450,000 over nine months in 2025.

The scheme unraveled in May 2025. The victim confronted Sherman, though he believed only $1 million had been taken. Sherman admitted to embezzling $989,000, a number she apparently invented on the fly when asked to calculate the theft and draft a promissory note. She promised to repay the "loan" over three years at a 1.43 percent interest rate. It was a small drop in the bucket compared to the actual loss.

Law enforcement moved in December 2025. When they executed a search warrant at her residence, the discovery was surreal. They found more than 1,500 designer items, all in "mint condition with original package and tags intact." The US Attorney’s Office described them as stored and displayed throughout the home.

The haul included four different Rolex watches. There were four different Birkin bags. A full assembly of Christian Louboutin red-bottomed heels waited on the shelves. And a small army of Louis Vuitton Vivienne wooden dolls, each retailing for over $3,000, filled a corner.

The court filings read like a luxury catalog. Louis Vuitton and Yves Saint Laurent had their own extensive sections. The rest of the collection belonged to Dior, Chanel, Gucci, and Hermes. Givenchy, Alaia, and Prada made occasional appearances. It wasn’t just clothes and handbags, though.

Investigators also recovered a wine collection, bag charms, and a Mercedes-Benz e-bike. There was even a Louis Vuitton dining set. And a Montblanc rollerball pen monogrammed "Lizbeth." The personal touch on that pen speaks volumes about her confidence.

On October 28, the US State Attorney ordered specific assets to be turned over to the state. The proceeds from selling these items will go to the Clerk of the Court for credit against Sherman’s restitution obligation. Among the assets slated for sale to help cover the $18 million restitution fee are those four Birkin bags.

Sherman faces sentencing on March 22, 2027. Until then, the scale of her greed is on full display in the court records.

The judge could slam her with up to two decades behind bars. A $250,000 fine sits on the table. She also owes her employer $18 million in restitution.