The $500 Headphones That Fooled America — The $34 Million Koss Embezzlement Fraud

In 1958, John C. Koss invented the stereo headphone from a basement using cardboard cups and a coat hanger. Koss Corporation soon dominated the American audio industry, putting their headphones on Air Force One and into major recording studios across the country. Yet, the company that revolutionized private listening was ultimately brought to its knees by a shocking private betrayal. For 12 years, Vice President of Finance Sujata “Sue” Sachdeva quietly embezzled $34 million from the company to fund an explosive, compulsive shopping addiction. Exploiting an antiquated accounting system and a total lack of corporate oversight, she bought thousands of furs, designer gowns, and shoes—most of which never even left their shopping bags. This is the unbelievable true story of how one woman’s multi-million dollar secret dismantled the family trust that built an American audio empire.