STAMFORD — On February 5 in Connecticut Superior Court, a former Newtown resident who headed the Sandy Hook Permanent Memorial Commission until two years ago entered a guilty plea to a felony first-degree larceny charge stemming from his embezzlement of approximately $135,000 from his former Norwalk employer.

Kyle Lyddy, 33, also made restitution in the amount of $100,000 to Match Marketing Group, with the promise that he would make an additional $35,000 in restitution to the firm within six months.

Additionally, if Lyddy stays out of trouble with the law for one year, as part of a diversionary court program known as Accelerated Rehabilitation (AR), the pending criminal charge would be dismissed, according to the terms of the plea agreement among Lyddy, the prosecutor, and the judge.

AR is a special form of pre-trial probation for first-time offenders that, if successfully completed, allows them to have a criminal charge expunged and prevents the defendant from serving any jail time. Participation in the AR program is at the discretion of the judge. Judge Gary White presided in court.

Failure to comply with the terms of an AR agreement would result in the defendant being exposed to the prospect of stricter penalties, including jail time.

The amount embezzled from Match was approximately $500,000. The $365,000 for which Lyddy is not being held accountable represents funds that were allegedly stolen by two of Lyddy’s subordinates at the company. The two other former employees are being prosecuted out of state.

Lyddy’s next court date in the case is February 5, 2021, when a judge will determine whether he has complied with the terms of AR agreement.

Attorney William F. Dow, III, who represents Lyddy, said February 6, “Kyle Lyddy is a young man with tremendous potential, who, like all of us, is not perfect. He appreciates that the court recognizes his outstanding qualities and allows him to earn a dismissal.”

Mr Dow said the judge thought it was appropriate for the defendant to earn a dismissal of the charge once restitution was made.

During his prosecution, Lyddy has been free on $100,000 bail. It is not clear if that bail is still in effect, in that Lyddy’s case files recently were sealed by the court.

Norwalk police arrested Lyddy on September 10, 2018, following a monthlong investigation stemming from a complaint by Match Marketing Group.

While a Newtown resident, Lyddy was chairman of the Sandy Hook Permanent Memorial Commission from its inception in 2013 to April 2018. Lyddy ran an unsuccessful campaign for the 106th District State House of Representatives seat in 2016. In 2018, Lyddy also served as the manager for the Oz Griebel gubernatorial campaign until Lyddy resigned just before his arrest.