North Dakota Embezzlement and Forgery Laws: Penalties (2026)

North Dakota's criminal code has no separate offense named embezzlement. NDCC 12.1-23-01 folds embezzlement and misappropriation of public funds into the single offense of theft, which is a class C felony when the value exceeds $1,000, a class B felony above $10,000 and a class A felony above $50,000 (NDCC 12.1-23-05).

A fiduciary, public servant or financial-institution insider who misuses entrusted property can also commit misapplication of entrusted property under NDCC 12.1-23-07, graded on its own value scale. Forgery or counterfeiting (NDCC 12.1-24-01) is a class A misdemeanor unless the instrument, the actor or the size of the scheme makes it a class C, B or A felony. For other states, see our guide to embezzlement and forgery laws by state.

Information last verified on 2026-10-18. This article has not been reviewed by a licensed lawyer.

Jurisdiction scope: This article covers the North Dakota Century Code sections on theft as it applies to embezzlement (12.1-23-01, 12.1-23-02, 12.1-23-05, 12.1-23-09, 12.1-23-10), misapplication of entrusted property (12.1-23-07), exploitation of an eligible adult (12.1-31-07, 12.1-31-07.1), the forgery and counterfeiting chapter (12.1-24-01 to 12.1-24-05), insufficient-funds checks (6-08-16), sentencing (12.1-32-01, 12.1-32-04, 12.1-32-07.4, 12.1-32-08, 12.1-32-09), office forfeiture (12.1-33-01, 44-02-01) and time limits for prosecution (29-04-02, 29-04-03, 29-04-04), with the related provisions of the North Dakota Constitution. It does not cover the full theft value table (see North Dakota theft laws), identity theft, scams and victim reporting, federal offenses, civil lawsuits or city ordinances.

What is embezzlement in North Dakota?

Embezzlement is a form of theft in North Dakota. NDCC 12.1-23-01(1) says so in terms:

"Conduct denominated theft in sections 12.1-23-02 to 12.1-23-04 constitutes a single offense designed to include the separate offenses heretofore known as larceny, stealing, purloining, embezzlement, obtaining money or property by false pretenses, extortion, blackmail, fraudulent conversion, receiving stolen property, misappropriation of public funds, swindling, and the like."

The clause that usually fits an employee or agent who already holds the money is the unauthorized-control branch of NDCC 12.1-23-02(1). A person is guilty of theft if he "Knowingly takes or exercises unauthorized control over, or makes an unauthorized transfer of an interest in, the property of another with intent to deprive the owner thereof."

So the old line between larceny (taking property) and embezzlement (keeping property that was handed over) does not decide which crime applies. Both are theft, graded by value under the same section.

The word still appears elsewhere in the Century Code without creating an offense of that name. NDCC 29-01-23, for example, provides that when "property stolen or embezzled has not been delivered to the owner," the trial court "may order it to be restored to the owner" on proof of title.

Is paying the money back a defense?

The theft chapter does not list repayment as a defense. The defenses in NDCC 12.1-23-09(1) begin with a claim of right: it is a defense that "The actor reasonably believed that the actor had a claim to the property or services involved which the actor was entitled to assert in the manner which forms the basis for the charge against the actor." Restitution is a sentencing matter, covered below. Among the factors a court weighs when deciding whether to impose imprisonment, NDCC 12.1-32-04(6) lists that "The defendant has made or will make restitution or reparation to the victim of his conduct for the damage or injury which was sustained."

Public servants and financial-institution employees: a prima facie case

NDCC 12.1-23-09(3)(a) states: "It is a prima facie case of theft under this chapter if it is shown that a public servant or an officer, director, agent, employee of, or a person connected in any capacity with a financial institution has failed to pay or account upon lawful demand for money or property entrusted to the person as part of that person's official duties or if an audit reveals a shortage or falsification of the person's accounts."

Is embezzlement a felony in North Dakota?

Generally yes once the value exceeds $1,000, and for a public servant once it exceeds $100. Under NDCC 12.1-23-05, theft is:

• a class A felony if the property or services stolen "exceed fifty thousand dollars in value";
• a class B felony above $10,000 up to $50,000;
• a class C felony if, among the grounds listed in subsection 3, "The property or services stolen exceed one thousand dollars in value" or "exceed one hundred dollars in value and are acquired or retained by a public servant in the course of official duties";
• otherwise a class A misdemeanor, unless subsection 5 applies.

Subsection 5 makes a first theft of $500 or less a class B misdemeanor only if it was shoplifting or all three of these conditions are met: "(a) The theft was not committed by threat; (b) The theft was not committed by deception by one who stood in a confidential or fiduciary relationship to the victim of the theft; and (c) The defendant was not a public servant or an officer or employee of a financial institution who committed the theft in the course of official duties."

The value lines for every kind of theft, including shoplifting, are on our North Dakota theft laws page.

Adding thefts together

NDCC 12.1-23-05(7): "Thefts committed pursuant to one scheme or course of conduct, whether from the same person or several persons, may be charged as one offense and the amounts proved to have been stolen may be aggregated in determining the grade of the offense."

Misapplication of entrusted property (fiduciaries, public servants, financial institutions)

NDCC 12.1-23-07(1) reaches a person who "disposes of, uses, or transfers any interest in property that has been entrusted to the person as a fiduciary, or in the person's capacity as a public servant or an officer, director, agent, employee of, or a person controlling a financial institution, in a manner that the person knows is not authorized and that the person knows to involve a risk of loss or detriment to the owner of the property or to the government or other person for whose benefit the property was entrusted."

It has its own value scale (NDCC 12.1-23-07(2)):

• class A felony if the value misapplied exceeds $50,000;
• class B felony above $10,000 up to $50,000;
• class C felony above $1,000 up to $10,000;
• class A misdemeanor above $500 up to $1,000;
• class B misdemeanor in all other cases.

"Fiduciary" in the theft chapter "means a trustee, guardian, executor, administrator, receiver, or any other person acting in a fiduciary capacity, or any person carrying on fiduciary functions on behalf of a corporation, limited liability company, or other organization which is a fiduciary" (NDCC 12.1-23-10(4)). The forgery chapter adopts the theft chapter's definitions (NDCC 12.1-24-04(1)).

Public office and public pensions

A felony sentence costs a public office. NDCC 12.1-33-01(2) provides that "A public office, other than an office held by one subject to impeachment, held at the time of sentence is forfeited as of the date of the sentence if the sentence is in this state," and that an appeal "does not affect the application of this section, but if the conviction is reversed, the defendant shall be restored to any public office forfeited under this section from the time of the reversal." During actual incarceration under a felony prison sentence, a person may not vote or "Become a candidate for or hold public office" (NDCC 12.1-33-01(1)). Separately, an office becomes vacant if the incumbent is "convicted of a felony or any offense involving moral turpitude or a violation of the person's official oath" (NDCC 44-02-01(8)).

The North Dakota Constitution adds two rules. State and judicial officers are liable to impeachment for "crimes, corrupt conduct, or malfeasance or misdemeanor in office," with judgment extending to "removal from office and disqualification to hold any office of trust or profit under the state" (N.D. Const. art. XI, sec. 10). And no person convicted of bribery, perjury or other infamous crime is eligible to the legislative assembly (N.D. Const. art. IV, sec. 10).

The public employee retirement chapters (NDCC chapters 54-52 and 54-52.6) contain no rule that forfeits a pension on conviction. NDCC 54-52.6-19 instead gives the board "the right of setoff to recover overpayments made under this chapter and to satisfy any claims arising from embezzlement or fraud committed by a participating member" or another claimant.

Exploitation of an eligible adult

Taking an older or vulnerable adult's money is also a separate offense. Exploitation of an eligible adult under NDCC 12.1-31-07.1 protects an eligible adult, defined as "an individual who is at least sixty-five years old or a vulnerable adult as defined in section 50-25.2-01" (NDCC 12.1-31-07(1)(b)). It reaches a person who "stands in a position of trust and confidence or has a business relationship with the eligible adult and knowingly, by deception, intimidation, or undue influence, obtains or uses, or attempts to obtain or use, the eligible adult's funds, assets, or property with the intent to temporarily or permanently deprive the eligible adult of the use, benefit, or possession of the property, for the benefit of someone other than the eligible adult." It also reaches a person who knows the adult lacks the capacity to consent and obtains or uses the adult's property with the same intent (NDCC 12.1-31-07.1(1)). It is graded by the value of "the exploited funds, assets, or property":

• class A felony above $50,000;
• class B felony above $10,000 up to $50,000;
• class C felony above $1,000 up to $10,000;
• class A misdemeanor at $1,000 or less.

The section states that "It is not a defense to a prosecution of a violation of this section that the accused did not know the age of the victim." It also states that it "does not impose criminal liability on a person who has: a. Managed the eligible adult's funds, assets, or property in a manner that clearly gives primacy to the needs and welfare of that person or is consistent with any explicit written authorization; or b. Made a good-faith effort to assist in the management of the eligible adult's funds, assets, or property."

The theft chapter itself has no victim-age reclassification. For warning signs and where to report, see our guide to elder financial exploitation.

Forgery and counterfeiting in North Dakota

What the offense covers

NDCC 12.1-24-01(1): a person is guilty of forgery or counterfeiting if, "with intent to deceive or harm the government or another person, or with knowledge that the person is facilitating such deception or harm by another person, the person: a. Knowingly and falsely makes, completes, or alters any writing; or b. Knowingly utters or possesses a forged or counterfeited writing."

Uttering and possessing are part of the same offense and are graded under the same subsection, but some grades name only forging or counterfeiting: forging a government obligation or security is a class B felony, while uttering or possessing one is a class C felony, and the class C grounds for writings made from multiple-reproduction plates or purporting to be made by the government apply to forging or counterfeiting (NDCC 12.1-24-01(2)). The chapter's definitions (NDCC 12.1-24-04) include:

• Falsely makes: "to make a writing which purports to be made by the government or another person, or a copy thereof, but which is not because the apparent maker is fictitious or because the writing was made without authority."
• Utter: "to issue, authenticate, transfer, publish, sell, transmit, present, use, or otherwise give currency."
• Without authority: "includes conduct that, on the specific occasion called into question, is beyond any general authority given by statute, regulation, or agreement."

How forgery is graded

Under NDCC 12.1-24-01(2), forgery or counterfeiting is:

• A class B felony if the actor forges or counterfeits "an obligation or other security of the government," or the offense is committed under a scheme to defraud of money or property "of a value in excess of ten thousand dollars, but not in excess of fifty thousand dollars."
• A class A felony if the value of the property in such a scheme "exceeds fifty thousand dollars."
• A class C felony if the actor is a public servant or an officer or employee of a financial institution and the offense "is committed under color of office or is made possible by the actor's office"; the actor forges or counterfeits foreign money or other legal tender, or utters or possesses a forged government obligation or security or foreign money; the actor forges or counterfeits a writing from "plates, dies, molds, photographs, or other similar instruments designed for multiple reproduction"; the actor forges or counterfeits a writing that "purports to have been made by the government"; or the scheme to defraud exceeds $1,000.
• A class A misdemeanor "in all other cases."

So a single forged private check is a class A misdemeanor unless one of those conditions applies. Readers dealing with a forged or washed check as victims can start with our guide to mail theft and check washing.

Counterfeiting tools, deceptive writings and slugs

• Facilitation of counterfeiting (NDCC 12.1-24-02) covers plates, dies and similar implements or impressions; it is "a class B felony if the implement or the impression relates to the forging or counterfeiting of an obligation or security of the government. Otherwise it is a class C felony."
• Deceptive writings (NDCC 12.1-24-03) covers a person who, with intent to deceive or harm, "knowingly issues a writing without authority to issue it or knowingly utters or possesses a deceptive writing." It is a class B felony for a scheme to defraud over $10,000; a class C felony for a public servant or financial-institution officer or employee acting under color of office, or for a scheme over $1,000; and a class A misdemeanor in all other cases.
• Making or uttering slugs (NDCC 12.1-24-05) is "a class A misdemeanor if it involves slugs which exceed fifty dollars in value. Otherwise it is a class B misdemeanor."

Insufficient-funds checks

Bad checks sit in Title 6, not the forgery chapter. Issuing a check without sufficient funds under NDCC 6-08-16 is graded by amount, and it reaches a felony at the top: it is "A class C felony if the amount of insufficient funds or credit is more than one thousand dollars, or an individual has pled guilty or been found guilty of three or more violations of this section within five years of willfully issuing an insufficient funds check, draft, or order" (NDCC 6-08-16(1)(d)).

North Dakota embezzlement and forgery offenses at a glance

Sentencing: maximums, presumptive probation and restitution

The ranges above are maximums. NDCC 12.1-32-01 divides offenses into classes "subject to maximum penalties": a class A felony carries "a maximum penalty of twenty years' imprisonment, a fine of twenty thousand dollars, or both"; a class B felony ten years, $20,000 or both; a class C felony five years, $10,000 or both; a class A misdemeanor "imprisonment for three hundred sixty days, a fine of three thousand dollars, or both"; and a class B misdemeanor thirty days, $1,500 or both. See North Dakota felony classes and misdemeanor penalties for the full class table.

Presumptive probation. NDCC 12.1-32-07.4(1) provides that the court "shall sentence an individual who has pled guilty to, or has been found guilty of, a class C felony offense or class A misdemeanor offense to a term of probation at the time of initial sentencing, except for an offense involving domestic violence; an offense subject to registration under section 12.1-32-15; an offense involving a firearm or dangerous weapon, explosive, or incendiary device; or if a mandatory term of incarceration is required by law." The aggravating factors listed in the section include "The age and vulnerability of the victim, whether the individual was in a position of responsibility or trust over the victim, or whether the individual abused a public position of responsibility or trust." Among the factors listed in NDCC 12.1-32-04 is "The defendant did not abuse a public position of responsibility or trust."

Restitution. When criminal activity has "resulted in pecuniary damages," the court, "in addition to any other sentence the court may impose, shall order that the defendant make restitution to the victim or other recipient as determined by the court" (NDCC 12.1-32-08(1)). A defendant who challenges the amount must request a hearing "within thirty days of being served with the written notification of the amount of restitution requested."

Habitual offenders. The court may extend a sentence for a habitual offender, which requires that the offender "is an adult and has previously been convicted in any state or states or by the United States of two felonies committed at different times when the offender was an adult" (NDCC 12.1-32-09). The same section also allows an extended sentence on other listed grounds, including a finding that the offender "is a professional criminal who has substantial income or resources derived from criminal activity" (NDCC 12.1-32-09(1)(b)). The extended maximum is "life imprisonment" for a class A felony, "imprisonment for twenty years" for a class B felony and "imprisonment for ten years" for a class C felony (NDCC 12.1-32-09(2)).

Time limits for prosecution

NDCC 29-04-02 sets a special clock for theft felonies: "Prosecution of felony offenses under chapter 12.1-23 or 50-24.8 must be commenced within the later of three years of commission of the last act that is an element of the offense, three years of discovery of the stolen property, or three years of discovery of the loss of the property or services." The clock also pauses while the accused lives elsewhere: "No time during which the defendant is not an inhabitant of, or usually resident within, this state is part of the limitation" (NDCC 29-04-04).

Misdemeanor theft and misapplication have a matching two-year clock: prosecution of misdemeanor offenses under chapter 12.1-23 "must be commenced within the later of two years of commission of the last act that is an element of the offense, two years of discovery of the stolen property, or two years of discovery of the loss of the property or services" (NDCC 29-04-03).

Forgery and the other offenses outside chapter 12.1-23 do not get a discovery rule. They fall under the general periods: a prosecution for a felony other than murder "must be commenced within three years after its commission" (NDCC 29-04-02), and a misdemeanor prosecution "must be commenced within two years after its commission" (NDCC 29-04-03). Civil filing deadlines are different; see the North Dakota statute of limitations guide.

Recent changes

• 2025: shoplifting repeat rule. 2025 SB 2257 amended NDCC 12.1-23-05(5) so that earlier convictions under "an equivalent ordinance" count toward the repeat-shoplifting rule. The governor signed it on March 21, 2025, and it took effect August 1, 2025. It did not change the felony value lines or the misapplication and forgery grades.
• 2025: habitual offenders. 2025 HB 1225 amended NDCC 12.1-32-09, effective August 1, 2025. The habitual-offender finding now rests on two prior adult felonies committed at different times; the earlier text required two felonies "of class C or above".

Federal law separately reaches embezzlement from banks and federal programs and mail or wire fraud schemes; those offenses are covered on our embezzlement and forgery laws by state hub. If you were the target of a fraud scheme, our North Dakota scam and fraud laws guide explains where to report it.

Related pages

• Embezzlement and forgery laws by state
• North Dakota theft laws
• North Dakota felony classes and misdemeanor penalties
• North Dakota scam and fraud laws
• North Dakota statute of limitations

This article provides general legal information about North Dakota law and is not legal advice. For advice about a specific situation, contact a lawyer licensed in North Dakota.

Last updated: 2026-10-18.

Frequently Asked Questions

Is embezzlement a felony in North Dakota?

Generally yes when the value exceeds $1,000: theft, which includes embezzlement, is a class C felony above $1,000, class B above $10,000 and class A above $50,000. A public servant who takes more than $100 in the course of official duties commits a class C felony (NDCC 12.1-23-05).

What is the penalty for embezzlement in North Dakota?

The statutory maximums are 5 years and $10,000 for a class C felony, 10 years and $20,000 for class B, and 20 years and $20,000 for class A (NDCC 12.1-32-01). Class C felonies carry presumptive probation with listed exceptions (NDCC 12.1-32-07.4), and restitution is mandatory where there is financial loss (NDCC 12.1-32-08).

How is embezzlement different from theft in North Dakota?

Legally it is not a different crime: NDCC 12.1-23-01 consolidates embezzlement into theft, which includes knowingly exercising unauthorized control over property of another with intent to deprive the owner (NDCC 12.1-23-02(1)). A fiduciary, public servant or financial-institution insider may also face misapplication of entrusted property under NDCC 12.1-23-07.

Is paying back embezzled money a defense in North Dakota?

The theft chapter does not list repayment as a defense. NDCC 12.1-23-09(1) lists defenses such as a reasonable belief in a claim of right to the property, and NDCC 12.1-32-08 requires the court to order restitution where there is financial loss.

Is forgery a felony in North Dakota?

Not always. Forgery or counterfeiting is a class A misdemeanor unless a listed condition applies, such as forging a government writing or security, an insider acting under color of office, or a scheme to defraud over $1,000, which make it a class C, B or A felony (NDCC 12.1-24-01(2)).

Is signing someone else’s name on a check forgery in North Dakota?

Under NDCC 12.1-24-04, a writing is falsely made when it purports to be made by another person but is not, because the apparent maker is fictitious or the writing was made without authority. Forgery also requires intent to deceive or harm the government or another person (NDCC 12.1-24-01(1)).

What is the statute of limitations for embezzlement in North Dakota?

For felony theft, prosecution must start within the later of three years from the last act, three years from discovery of the stolen property, or three years from discovery of the loss (NDCC 29-04-02). Misdemeanor theft has a matching two-year rule (NDCC 29-04-03). Forgery and other offenses outside the theft chapter run from commission: three years for a felony, two for a misdemeanor (NDCC 29-04-02, 29-04-03). Time the defendant is not a North Dakota resident does not count (NDCC 29-04-04).