Employee theft is one of the most frequently prosecuted forms of theft in Colorado — and one of the most commonly misunderstood. Many employees who are accused of stealing from their workplace assume the worst they face is losing their job. In reality, an employer can choose to involve law enforcement at any time, and the consequences of a criminal theft conviction in Colorado can follow you far beyond the end of that employment.
What Qualifies as Employee Theft in Colorado?
Employee theft is not limited to taking cash from the register or walking out with merchandise. Colorado’s theft statute (CRS 18-4-401) defines theft broadly as knowingly obtaining or exercising control over something of value belonging to another without authorization, with the intent to permanently deprive the owner of it. This includes:
- Taking cash, merchandise, or inventory for personal use
- Using a company credit card for personal purchases
- Submitting false expense reports or falsifying reimbursement claims
- Taking proprietary information, trade secrets, or client data
- Billing fraud — recording hours not worked or services not rendered
- Skimming — diverting customer payments before they are recorded
Intellectual property theft and fraud-based thefts are treated just as seriously as physical theft, and in many cases carry more serious charges because they are harder to detect and the value is harder to quantify.
Colorado Theft Penalties: How Value Drives the Charge
The severity of the criminal charge in Colorado scales with the value of what was allegedly taken:
- Under $300: Petty offense — up to 10 days in jail and a $300 fine
- $300 to $999: Class 2 misdemeanor — up to 120 days in jail and up to $750 in fines
- $1,000 to $1,999: Class 1 misdemeanor — up to 364 days in jail
- $2,000 to $4,999: Class 6 felony — 12–18 months in prison
- $5,000 to $19,999: Class 5 felony — 1–3 years in prison
- $20,000 to $99,999: Class 4 felony — 2–6 years in prison
- $100,000 to $999,999: Class 3 felony — 4–12 years in prison
- $1,000,000 or more: Class 2 felony — 8–24 years in prison
Courts also routinely order restitution — requiring the defendant to repay the employer for the value of what was stolen — in addition to any criminal penalties.
When Is an Employer Likely to Call the Police?
Employers are more likely to pursue criminal charges when the theft involves a significant dollar amount, fraud that requires correction (such as system manipulation or falsified records), proprietary information that gives a competitor an advantage, or when the employer wants to make an example to deter future theft. The decision to call law enforcement can come at any time — including weeks or months after the termination, particularly when the theft only surfaces during an internal audit.
A Confession to Your Employer Can Be Used Against You
If you admitted to taking something during an internal HR investigation or signed a document acknowledging the conduct, that statement can be introduced as evidence in a criminal prosecution. Before making any statement to an employer — even in what feels like a confidential HR meeting — it is worth understanding that those statements are not protected by any employer-employee privilege.
Protecting Your Rights After an Employee Theft Accusation
Even if your employer has not yet contacted law enforcement, an accusation of employee theft is serious enough to warrant legal guidance. Early attorney involvement lets you understand your exposure, evaluate the evidence against you, and avoid taking actions that could complicate your defense later. At Shazam Kianpour & Associates, P.C., our employee theft defense attorneys handle cases across Denver and the Front Range. Call 303-825-1075 or contact us online for a free consultation.
Written by
Shazam KianpourDenver Criminal Defense Attorney & Founder, Shazam Kianpour & Associates, P.C. — Over 10,000 criminal and traffic cases handled across Colorado.