"....
That’s the lesson executives at Los Angeles start-up Mahalo.com learned recently when they discovered an employee had previously been convicted of using malware to steal hundreds of thousands of online banking identities.
John Schiefer, who on Wednesday was sentenced to four years in prison after confessing to the crimes in 2007, was hired several months ago by Mahalo as a security consultant entrusted with sensitive data.
...."

http://blogs.wsj.com/venturecapital/2009/03/05/mahalo-learns-lesson-with-felony-hire/