A state auditor is facing serious charges after stealing more than $405,000 from the Town of Wallkill during an official audit, according to Orange County District Attorney David M. Hoovler

Tobias Otieno, 41, of Hyde Park, was arraigned on a felony complaint charging him with grand larceny in the second degree as a public corruption crime, a class B felony.

Hoovler says Otieno was employed as an Auditor 1 for the New York State Office of the State Comptroller and was assigned to audit Wallkill’s financial operations between June 23, 2022, and Sept. 1, 2024.

The complaint alleges Otieno used his public position to access town bank accounts and financial documents, then transferred $405,843.25 into personal business accounts, including Toncye Consulting and Tozaq Accounting Services.

The case was investigated by the Orange County Sheriff’s Office and District Attorney’s Office under the Orange County White Collar Crimes Taskforce, with assistance from the State Comptroller’s Office and its forensic auditors.

A search warrant was executed at Otieno’s Hyde Park home on July 10.

Town of Wallkill officials were not implicated in the theft and reported the fraud. The town’s bank reimbursed the stolen funds.

Otieno was suspended and later terminated by the comptroller’s office.

Due to state bail reform laws, bail could not be set. The case is scheduled to return to Town of Wallkill Court on July 30.