Trusted Manager Stole $2.56M From Family-Run LA Fashion Company: Prosecutors

LOS ANGELES, CA — A former credit and accounting manager for a family-owned women’s clothing has been charged with 106 felonies in an scheme to steal more than $2.56 million from the company over nearly a decade, according to the Los Angeles County District Attorney’s Office.

Donna Faye Bui, 45, is accused of transferring approximately $2,562,941 from Karen Kane company accounts into her personal bank accounts through hundreds of transactions, prosecutors said.

Bui worked as Karen Kane’s credit and accounting manager from September 2015 until February 2024. In that role, she was responsible for paying company bills and was the only employee with electronic access to certain company bank accounts, according to prosecutors.

Authorities claim Bui attempted to conceal the theft by moving the money through a series of smaller electronic transactions. She is also accused of failing to report the money as income to California tax authorities.

The scheme came to light in February 2024 after Karen Kane’s new president noticed suspicious account activity and initiated an audit, prosecutors said.

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 and one count of unauthorized computer access. Prosecutors also claim white-collar crime and money laundering enhancements.

Bui pleaded not guilty at her Aug. 26 arraignment. A preliminary hearing setting is scheduled for Oct. 19 at the Foltz Criminal Justice Center in downtown Los Angeles.

The judge found Bui did not pose a threat to public safety and released her on her own recognizance with no bail over prosecutors’ objection. The District Attorney’s Office had requested bail be set at $875,000.

Los Angeles County District Attorney Nathan Hochman criticized the bail decision, arguing that white-collar offenses can cause significant harm to businesses, employees, the tax system and financial institutions.

“White collar criminals who abuse positions of trust for their own greed are a clear threat to public safety,” Hochman said.

If convicted, Bui could face decades in state prison, according to prosecutors.

Karen Kane is a Vernon-based women’s clothing company founded by Karen Kane and her husband, Lonnie Kane, shortly after they married. The couple started the business from their garage, which served as its first office, studio and warehouse, according to the company’s website.

The company remains family-run, with the founders’ sons, Michael and Robert, joining the business. Karen Kane says more than 70% of its management team is made up of women and about three-quarters of its employees come from underrepresented populations.

Deputy District Attorney Steve Dickman of the White Collar Crime Division is prosecuting the case.

The Vernon Police Department is investigating with assistance from the Los Angeles Police Department, California Franchise Tax Board and Los Angeles County District Attorney’s Bureau of Investigation.

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