Sounds like your boss is in the hotseat and needs to blame someone so he doesn't get canned for it.
First, make sure to bring your co-worker to your UI hearing as your witness - her argument/facts can work for you too! Also, bring ALL those checks and any other documentary evidence (emails?) confirming that you had permission to use the cc and that you always paid back as required. Indicate that you understand that the boss has been overspending on it and has gotten caught hiding purchases to avoid paying it back, and that now that he has been caught (if this is true and if it does not implicate you in his theivery, see below), it appears he is trying to accuse the employees of spending and not taking back. Every expense should have a signed signature on the cc receipt, so they should be able to prove who spent, unless it was over the internet (uggh).
Secondly, talk to her about her being willing to make a statement to the police about the general permission you had to use the company credit card, and that past usage will show that is was permitted and understood that you would reimburse for the personal expenditures, and show that you DID. Those past transactions of acceptability and your chronic payment back is your best evidence. I would like you to be able to tattle on your boss, but I do not want to see you say you were assisting him in stealing ('hiding stuff') if it will get you in like trouble.
I do not recommend you blow of the officer because yes, he can seek assistance through your local police. However, I would recommend you do consult with a local criminal defense attorney, even if only for 1/2 (reasonably priced), to learn of the likelihood of local police cooperation.
Using the cc too much is NOT the same as stealing. It is civil matter, not a theft matter.
If that request in Nov. was for an itemization of any unreimbursed expenditures was in writing, that would be terrific!!? His blowing it off would help to show his motivation. If it wasn't in writing, are ther eany witnesses? If it was by phone, can you at least get the phone records to show you called him on that day?
Lastly, if you have the time and energy, I would file a lawsuit for defamation against the old boss and the employer - he is speaking false and derogatory statements against you to third parties that has obviously damaged you financially and via your reputation. It will teach him a lesson.
Hope this helps to clarify.
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