US authorities have sentenced 80-year-old Mary Margaret Kreuper, the principal of St. James Catholic School in Los Angeles, to over a year in prison for embezzling $835,339 from school funds to pay for personal expenses. Kreuper, who had pleaded guilty to wire fraud and ML in July 2021, must now pay $825,338 in restitution.
Kreuper’s embezzlement lasted for 10 years till 2018. She had been the school principal for 28 years and was responsible for handling the tuition, fees, and charitable donations. She controlled a savings account for the school and another to pay the living expenses of the school’s nun employees. Kreuper diverted school funds into these two accounts and used them for personal expenses, including gambling trips.
Moreover, Kreuper falsified the monthly and annual reports she submitted to the school administration to conceal her fraudulent activities. During a school audit, she also asked school employees to manipulate and destroy certain financial records.
Source: US Department of Justice