LOS ANGELES, CA – A former accounting manager for Los Angeles-area women’s clothing company Karen Kane has been charged with 106 felonies after prosecutors accused her of secretly transferring more than $2.5 million from company bank accounts into her own accounts over nearly a decade.
The Los Angeles County District Attorney’s Office announced the case Sept. 2 against Donna Faye Bui, 45, a former credit and accounting manager for Karen Kane, Inc., a family-owned women’s apparel company based in Vernon.
Prosecutors allege Bui worked for the company from September 2015 through February 2024 and had significant responsibility over its finances.
According to the District Attorney’s Office, she oversaw company bank accounts, handled bill payments and was the only person with electronic access to certain accounts.
That access allegedly allowed Bui to divert company money to herself over an extended period without immediate detection.
Prosecutors accuse her of transferring approximately $2,562,941 from Karen Kane accounts into her personal bank accounts through hundreds of transactions.
The transfers allegedly continued for years.
Authorities further allege that Bui attempted to conceal the stolen funds by moving money through a series of smaller electronic transactions, conduct prosecutors characterized as money laundering.
She is also accused of failing to report the allegedly stolen income to California tax authorities.
106 Felony Counts Filed
The criminal case includes a wide range of alleged financial offenses.
Bui is charged with:
- 89 counts of money laundering
- 10 counts of grand theft
- five counts of filing false tax returns
- one count of failing to file a tax return
- one count of unauthorized computer access
Prosecutors also alleged white-collar crime and money-laundering enhancements.
The case number is 26CJCF04447, according to the District Attorney’s Office.
The unauthorized-computer-access allegation adds another dimension to the case. California Penal Code Section 502 is designed to protect businesses and other entities against unauthorized access to computer systems and data.
Exactly what electronic conduct prosecutors contend violated that statute has not been detailed in the public announcement.
Audit Allegedly Uncovered Suspicious Activity
According to the information provided with the case, the alleged theft came to light after a new company president noticed suspicious financial activity and initiated an audit in February 2024.
That review reportedly exposed unusual transactions involving company funds.
Prosecutors have not publicly detailed how long the internal audit lasted, which specific transactions first raised concerns or whether an outside forensic accounting firm participated.
The public charging announcement instead focuses on the overall pattern prosecutors say investigators later reconstructed: hundreds of transfers totaling more than $2.56 million over nearly 10 years.
The allegations suggest a scheme that prosecutors believe depended heavily on Bui’s position of trust and access to the company’s banking systems.
Prosecutors Emphasize Position of Trust
Los Angeles County District Attorney Nathan J. Hochman framed the case as an alleged abuse of financial authority inside a private company.
“Stealing millions of dollars from your employer as a trusted employee for over a decade is a cruel and calculating criminal deception,” Hochman said.
He added that financial crimes committed by employees with access to electronic banking systems can expose businesses to substantial risk.
“Major fraud has major consequences,” Hochman said.
The charges remain allegations.
Bui has not been convicted, and prosecutors will have to prove the allegations in court.
Karen Kane Is Based in Vernon
Karen Kane, Inc. is a women’s clothing company headquartered in Vernon, according to the District Attorney’s Office.
The company’s location places the alleged conduct within Los Angeles County, where prosecutors ultimately filed the criminal case.
The DA’s announcement describes Karen Kane as family-owned.
Authorities have not publicly said whether the alleged losses affected company payroll, operations, vendors or employees, nor have prosecutors disclosed whether any of the approximately $2.56 million has been recovered.
The public filing also does not indicate whether restitution has been ordered or whether prosecutors are seeking seizure of assets allegedly connected to the transactions.
Those issues may develop as the case moves forward.
Tax Allegations Add Separate Exposure
The prosecution is not limited to the money allegedly taken from the company.
Bui is also accused of failing to report stolen income to California tax authorities, resulting in multiple alleged tax offenses.
The DA charged her with five counts of filing false tax returns and one count of failing to file a return.
Prosecutors have not released the specific tax years associated with each count or the amount of alleged tax loss.
The tax allegations matter independently from the theft accusations because even money obtained unlawfully can create tax-reporting consequences.
Still, the precise theory underlying those counts will ultimately be established through charging documents and court proceedings rather than the initial public announcement.
Hundreds of Transactions Alleged
The number of alleged transactions is another notable aspect of the case.
Rather than accusing Bui of a small number of large transfers, prosecutors say the money moved through hundreds of transactions.
They also allege some of those funds were subsequently moved through smaller transactions in an effort to conceal their source.
The District Attorney’s Office has not published a complete transaction history or identified individual bank accounts involved.
It is also unclear from the public release whether investigators believe any other person knowingly participated.
No additional defendants were announced.
Preliminary Hearing Scheduled
A preliminary hearing is scheduled for Oct. 19 at the Foltz Criminal Justice Center.
At that stage, prosecutors generally seek to establish sufficient evidence for felony charges to proceed toward trial.
The hearing will not determine guilt or innocence.
Bui remains presumed innocent unless and until she is convicted.
The case could also change before then through amended charges, motions or other court proceedings.
For now, prosecutors accuse the former accounting manager of exploiting years of financial access to funnel more than $2.56 million from her employer into personal accounts while attempting to conceal the movement of the money.
The case remains pending in Los Angeles County Superior Court.
