MINNEAPOLIMEDIA NEWS | Shorewood Man Pleads Guilty to Stealing and Selling $4 Million in Employer’s Products

SAINT PAUL, MN (August 28, 2026) A 42-year-old Shorewood man has pleaded guilty to wire fraud after admitting that he stole and sold approximately $4 million in products belonging to his employer.

Paul Joseph Kroes entered the guilty plea Thursday before U.S. District Judge Paul Magnuson. A sentencing date has not been scheduled.

According to federal prosecutors, Kroes carried out the scheme from approximately November 2019 through March 2025 while working for a Minnesota retailer of transport temperature-control systems used in refrigerated trucks and shipping containers.

Kroes had worked for the company since 2007 and held several positions. His final role was product manager.

Prosecutors said Kroes exploited his access to company products and internal inventory systems by selling merchandise to outside buyers without authorization.

He either removed the products himself or directed another employee to pull them, according to the U.S. Attorney’s Office.

Kroes then concealed the missing products in the company’s inventory system and retained the proceeds for his personal benefit.

The federal wire-fraud charge carries potential imprisonment and financial penalties. The court will determine Kroes’ sentence after considering federal sentencing guidelines and other statutory factors.

The employer was not identified in the public announcement.

The FBI investigated the case. Assistant U.S. Attorneys Austin Bowyer and Rebecca Kline are prosecuting it.

Source: U.S. Attorney’s Office for the District of Minnesota

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