Held in lieu of US$1 million bond, Katona faces a maximum of 14 years in prison. He is scheduled to appear in court for a preliminary hearing on 31 January.
The Nigerian fraud scam is a classic message-based fraud technique. Over the years it's been perpetrated via letters and email.
An audit of county finances by the Michigan Treasury Department revealed a shortage of more than US$1.2 million, state Attorney General Mike Cox told the Press.
County employees were notified last November by National City Bank that Katona had allegedly made unauthorized wire transfers of county funds, according to the press report.
Katona was first elected Alcona County treasurer in 1993. He was removed from the position two months ago by the Alcona County Board of Commissioners.