Prosecutors say that Kreuper who served as the principal of St. James' school for 28 years prior to her 2018 arrest began embezzling money from the school in 2008 when she was around 66 years old. Get browser notifications for breaking news, live events, and exclusive reporting. However, her arrangement came to light following a 2018 financial review after her retirement. The 79-year-old Los Angeles resident was charged Tuesday with one count of wire fraud and one count of money laundering. Despite her nun's vow of poverty . }); We do know they had a pattern of going to casinos, and the reality is, they used the account as their personal account," an attorney told the crowd at the meeting. Kreuper controlled accounts at a credit union, including a savings account for the school and one established to pay the living expenses of the nuns employed by the school. She convinced school administration into thinking everything was on the up and up. Sister Mary Margaret Kreuper admits to stealing over $835k from a Catholic School. The Los Angeles Times reports Mary Margaret Kreuper, former principal of St. James Catholic School, was facing 40 years in prison but was sentenced to a year and a day on Monday. [emailprotected]. Mary Margaret Kreuper, 80, was sentenced to a year and a day in federal prison and ordered to pay $825,338 in restitution, the U.S. Attorney's Office said. She must also pay $825,338 in restitution, covering most of the losses of $835,339 from St. James Catholic School in the Arlington Heights neighborhood of Los Angeles. Mary Margaret Kreuper was so close to getting away with it. Create your free profile and get access to exclusive content. Retired nun Mary Margaret Kreuper, admitted to stealing money from St. James Catholic School in Torrance, California. Kreuper is also accused of directing St. James employees to alter and destroy financial records during a school audit. According to legal documents, Kreuper embezzled money from the school over a period of 10 years ending in September 2018. Assistant United States Attorney Poonam G. Kumar of the Major Frauds Section prosecuted this case. At least I hope you do.. The charges against the 79-year-old were leveled on Tuesday, June 8, and prosecutors at the same time filed a plea agreement. Meyers said he then notified the Archdiocese of Los Angeles, who in turn hired an independent forensic auditor to perform a review. Join half a million readers enjoying Newsweek's free newsletters. Sister Mary Margaret Kreuper, 79, was charged Tuesday with wire fraud and money laundering for ripping off St. James Catholic School for a period of 10 years ending in September 2018, according to . Viveca Tokatlian, whose son is now a senior at the University of San Diego and was once student in Chang's eighth-grade class, said she was shocked and disappointed by the news. An elderly nun who pleaded guilty to embezzling from a Catholic school to fund her own gambling trips has been sentenced to a year in federal prison. A federal judge sentenced Sister Mary Margaret Kreuper, a nun and former Catholic school principal, to a year in prison for embezzling more than $835,000 from the school she ran to fund a more secular lifestyle including gambling trips. Bank records show Sister Mary Margaret Kreuper and Sister Lana Chang had been embezzling funds from St. James Catholic School in Torrance for at least a decade, the Press-Telegram reported. Mary Margaret Kreuper, 79, of Los Angeles, was charged last month with one count each of wire fraud and money laundering for embezzling the money over the span of 10 years, up until 2018, the . Mary Margaret Kreuper, 80, was charged with one count of wire fraud and one count of money laundering in July 2021 and has agreed to a plea deal for allegedly embezzling $835,000 while she was. Author of the article: }); Mary Margaret Kreuper, 79, of Los Angeles, was charged Tuesday with one count each of wire fraud and money laundering. Mary Margaret Kreuper, a retired nun who served as principal of a Catholic elementary school in Torrance, California, for 28 years, agreed on Tuesday to plead guilty to fraud and money laundering. Create a free profile to get unlimited access to exclusive videos, breaking news, sweepstakes, and more! "We. Officials with the archdiocese alleged the nuns spent some of the money on personal trips and gambling, the Press-Telegram reported. They both retired at the end of this past school year, shortly before St. James Catholic Church in Redondo Beach was made aware of the alleged embezzlement happening at its school. She also controlled accounts at a credit union, including a savings account for the school and one used to pay for the living expenses of the nuns employed by the school. For three years, Byrne told the judge, the nuns in her order have kept her under severe restrictions at a convent. Track SoCal rain with LIVE Megadoppler 7000 HD. Meyers also said at the meeting that Kreuper began displaying "very nervous and very anxious" behavior about the audit and allegedly asked staff to change records. Chang and Kreuper's scheme was exposed after an internal auditor confirmed the church's suspicions. I got exactly what I paid for. She will appear for an arraignment at the United States District Court on July 1. Kreuper falsified monthly and annual reports to the school administration to cover up her fraudulent conduct and lulled St. James School and the Administration into believing that the schools finances were being properly accounted for and its financial assets properly safeguarded, which, in turn, allowed defendant Kreuper to maintain her access and control of the schools finances and accounts and, thus, continue operating the fraudulent scheme, according to court documents. Mary Margaret Kreuper was the principal of the elementary school for 28 years. She became a nun when she was 18 years old, and for the next 59 years she dedicated her life to helping others and educating children in archdiocesan schools, Kreupers attorneys wrote. Sister Mary Margaret Kreuper, was sentenced to one year and one day for fraud and money laundering. Sign up forOxygen Insiderfor all the best true crime content. During the latest hearing, Mary Margaret Kreuper confessed to her crimes and admitted her wrongdoings: The nun also said that she lulled St. James School and the administration into believing that the school's finances were being properly accounted for and its financial assets were properly safeguarded., Kreuper even apologized for the public scandal, the embarrassment and the financial burden placed on the "sisters of the religious community, the Archdiocese of Los Angeles, St. James School, the parishioners, parents and students.". Oxygen Insider is your all-access pass to never-before-seen content, free digital evidence kits, and much more. Assistant US Attorney Poonam Kumar told The New York Post that Kreuper even asked parents to donate more money in addition to their $6,000 annual fees. "The Sisters have confirmed the misappropriation of funds and have cooperated in the investigation. After charges were filed, her attorneys issued a statement saying Sister Mary Margaret suffered "from mental illness that clouded her judgment and caused her to do something that she otherwise would not have done. ga('create', 'UA-67136960-15', 'auto', 'ads'); Mary Margaret Kreuper, 80, of the Arlington Heights neighborhood in Los Angeles, was sentenced by United States District Judge Otis D. Wright II, who also ordered her to pay $825,338 in restitution. At about $83,000 a year, the amount matches the tuition of 14 students a year, prosecutors said. Officials said Kreuper and Chang used a large portion of the stolen funds for "personal gains" and "recycled" some of it back into the school, the Press-Telegram reported. Margaret Mary Kreuper has pled guilty to embezzling $835,000 from St. James Catholic School to fund gambling trips and personal expenses (St. James Catholic Church) Who is Mary Margaret Kreuper? Poonam Kumar told the judge. Sister Mary Margaret Kreuper, 80, who took a vow of poverty, begged a judge to show her mercy and spare her prison, saying: "I have sinned, I've broken the law and I have no excuses." She called her crimes a "violation of my vows, my commandments, the law and, above all, the sacred trust that so many had placed in me". The Sisters of St. Joseph of Carondelet are a congregation of Catholic sisters. } Mary Margaret Kreuper, 79, of Los Angeles, agreed last month to plead guilty to wire fraud and money laundering charges, according to the U.S. Attorney's Office. Sisters Mary Margaret Kreuper and Lana Chang, who belong to the Sisters of St. Joseph of Carondelet, are suspected of embezzling a "substantial" amount of money from a Catholic school in. She was sentenced to 12 months and one day in federal prison in addition to . eventCategory: event.slot.getSlotElementId(), if(document.querySelector("#ads")){ An indictment was unsealed today charging Terren S. Peizer, the CEO and Chairman of the Board of Directors of Ontrak Inc., a Henderson, Nevada-based publicly traded health care company, for A Carson man who was a central figure in an international fraud and money-laundering network that targeted $25 million through a variety of frauds including romance scams and elder A former executive at cinema subscription service MoviePass Inc. has been arrested on a federal grand jury indictment alleging he embezzled approximately $260,000 from MoviePass parent company to repay money Central District of California The church was made aware of the scheme around June when it began a routine audit in response to Kreupers retiring. However, the nun started diverting the money into secret accounts in 2008 to fund her gambling habits and personal credit card charges. "I don't have to worry about b.s. Chang was a teacher for about 20 years and also recently served as vice principal. She pleaded guilty last July . Following Mondays hearing Sister Mary Margaret Kreuper was released under her own recognizance and is required to turn herself in to the Federal Bureau of Prisons by June 7, 2022. "Unfortunately, later in her life she has been suffering from a mental illness that clouded her judgment and caused her to do something that she otherwise would not have done. But. A NUN is set to plead guilty to embezzling more than $830,000 from the Catholic elementary school she ran to bankroll her gambling habit, prosecutors say. Prosecutors filed federal wire fraud and money laundering charges against Mary Margaret Kreuper, 79, for "stealing more than $835,000 in school funds to pay for personal expenses, including. embezzling about a half-million dollars in tuition, fees and donations. Ive broken the law and I have no excuses. According to authorities, she spent 10 years embezzling money from St. James Catholic School where she served as principal. }) She took advantage of her position as principal at the school, where she was responsible for its income, which consisted of tuition fees and charitable donations. Not all of the years appear to have involved alleged financial crimes. Sister Mary Margaret became a nun when she turned 18 in 1960 and took a vow of poverty. }); ", The Sisters of St. Joseph of Carondelet to which the Chang and Kreuper belonged to had released a statement after their scheme came to light in 2018. Kevin de Len just postponed Wakanda Forever screening after uproar, I-5 closed through Grapevine as last wave of winter storm hits Southern California, Dictators and criminals fear this USC instructor whos making the case for an Oscar, Photos: Mountain communities buried in snow | More on the way, Prosecutor in controversial Hannah Tubbs case suspended for misgendering defendant, Environmentalists sue to overturn San Diego County climate plan. The Sisters of St. Joseph both desire and intend to make complete restitution to St. James School. Kreuper was principal at the school for 29 years. Prosecutors had recommended a 24-month prison sentence, three years of. Shes 80 years old. According to her plea agreement reviewed by Courthouse News, Kreuper began diverting both cash and checks the school received from payment for children's tuition and as donations into a St. James Convent bank account (established to pay for the living expenses of the nuns who worked at the school) as well as a the St. James savings account established for the school itself. TORRANCE, Calif. (CNS) -- The retired principal of a Catholic elementary school in Torrance who embezzled more than $835,000 in school funds to support a gambling habit was sentenced to one year and a day in prison on Monday. Mary Margaret Kreuper, 80, of Los Angeles, was also ordered to pay $825,338 in restitution, according to the U.S. Attorney's Office. Lock reporters on a platform technologically tailored to meet the needs of the modern reader. Her plea agreement from June 8 with the U.S. Attorney's Office for the Central District of California said the 79-year-old had diverted funds into the St. James Convent Account and the St. James Savings Account. ga('ads.send', { Mary Margaret Kreuper, a nun who admitted stealing more than $800,000 from St. James Catholic School in Torrance when she was its principal, spent some of the money on trips to Las Vegas and Lake. hitType: 'event', }) Kreuper acknowledged that for a period of 10 years ending in September 2018, she embezzled $835,339 from St. James Catholic School. Official websites use .gov Be the first one to comment on this story. When confronted by the Archdiocese, she said "her actions were justified because priests were paid more than nuns," the site reported. hitType: 'event', While at the organization, she was responsible for the money the school received to pay for tuition and fees as well as charitable donations. Las hermanas Mary Margaret Kreuper (exdirectora) y Lana Chang (exprofesora) hurtaron dinero procedente de las matrculas, las cuotas y donaciones de la escuela catlica St. James de Torrance Sister Mary Margaret Kreuper, of Los Angeles, was sentenced Monday to one year and one day for fraud and money laundering charges. For an optimal experience visit our site on another browser. Mary Margaret Kreuper, 80, of Los Angeles, pleaded guilty in July to federal wire fraud and money laundering charges. U.S. Attorney's Office, Central District of California, Environmental Crimes and Community Safety, Nun Who Embezzled Tuition Money from Torrance Catholic Elementary School Sentenced to One Year in Federal Prison, CEO of Nevada-Based Publicly Traded Health Care Company Charged with Federal Crimes for Alleged Insider Trading Scheme, Carson Man Sentenced to More Than 11 Years in Prison for Role in International Conspiracy to Launder Money Taken from Fraud Victims, Former MoviePass Executive Arrested on Indictment Alleging He Embezzled $260,000 from Employer to Repay Coachella Debt, Nun Who Embezzled Tuition Money From Torrance Catholic Elementary School Sentenced To One Year In Federal Prison. Church officials previously said they did not want to press criminal charges against the nuns. Officials said she would alter the checks by endorsing them with a stamp that read "St. James Convent" instead of "St. James School.". Julija Garunkstis, who attended the small school of three stucco and red-brick buildings from 2005 to 2014, told the judge about the fear that Kreuper instilled in children when they misbehaved. Prior to her sentencing, the nun had already been placed under several restrictions by the order of the Sisters of St. Joseph of Carondelet. By Colin Groundwater June 9, 2021 Two summers ago, Sean Flynn reported a wild story for GQ about two very. SisterMary Margaret Kreuper, 80, was sentenced on Monday to 12 months and one day in federal prison byU.S. District Judge Otis D. Wright II and ordered to pay$825,338 in restitution to theSt. James Catholic School in Torrance, California, according to a press release from theU.S. Attorneys Office in the Central District of California. In a letter addressed to parents and parishioners, he wrote, "Sister Mary Margaret and Sister Lana have expressed to me and asked that I convey to you, the deep remorse they each feel for their actions and ask for your forgiveness and prayers. }); LOS ANGELES, CALIFORNIA: Mary Margaret Kreuper, a now-retired nun and a Los Angeles resident was charged with one count of wire fraud and one count of money laundering on Tuesday, June 8. / KCAL News. Mary Margaret Kreuper, 80, of Los Angeles, entered her plea to wire fraud and money laundering charges, which . The retired principal of a Catholic elementary school in Torrance, who as a nun took a vow of poverty, pleaded guilty Thursday to federal charges that she embezzled more than $835,000 in school funds to support a gambling habit. In the plea agreement, she admitted to having used the diverted funds to pay for expenses that the order would not have approved, much less paid for, including large gambling expenses incurred at casinos and certain credit card charges. Kreuper also admitted that she falsified monthly and annual reports to the school administration to cover up her fraudulent conduct. pg.acq.push(function() { Secure .gov websites use HTTPS Nuns should realize that just by living their lives and living the way they do and treating people the way they do, they affect children for the rest of their lives, said Wright, who fell silent and covered his face in his hands for a long pause during his pronouncement of the sentence. I apologize for the public scandal, the embarrassment and the financial burden that I have placed on the sisters in my religious community, the Archdiocese of Los Angeles, St. James School, the parishioners, parents and students who placed their trust in me.. The total losses Kreuper caused to St. James Catholic School were $835,339. She pleaded guilty toone count of wire fraud and one count of money laundering in July 2021, according to prosecutors, as part of a plea deal. United States Attorneys Office In a memo to the judge, prosecutors cited letters from parents and students, including one from a 12-year-old saying Kreuper was just like any other robber.. 312 North Spring Street document.querySelector("#google_image_div").addEventListener('click',function(){ Sisters of St. Joseph of CarondeletFebruary 7, 2022February 14, 2022. }); They and their order pray that you have not lost trust or faith in the educators and administrators of the school. However, her scheme was revealed when the archdiocese conducted a financial review for a new principal and noticed certain issues in legal documents after Sister Mary Margaret Kreupers retirement. Urgent needs call us to bold conversation and prophetic action. Police will, however, still follow the case and present their findings to the Los Angeles County District Attorney's Office. "They were just such staunch defenders of moral fortitude, they were really tough on the kids," she said. Central District of California (Los Angeles) Documents state, Kreuper lulled St. James School and the Administration into believing that the schools finances were being properly accounted for and its financial assets properly safeguarded, which, in turn, allowed defendant Kreuper to maintain her access and control of the schools finances and accounts and, thus, continue operating the fraudulent scheme.. Unfortunately, later in her life she has been suffering from a mental illness that clouded her judgement and caused her to do something that she otherwise would not have done. They declined to go into further detail about any illness their client may have been diagnosed with, according to a report by Daily Breeze. She even attempted to destroy documents when an audit nearly exposed her arrangement. Mary Margaret Kreuper, 79, of Los Angeles, was charged today with one count of wire fraud and one count of money laundering. Sisters Mary Margaret Kreuper and Lana Chang, the former a former principal at St. James Catholic School in Torrance, Los Angeles County, confessed to stealing $500,000 from the school to fund . Kreuper pleaded guilty in July to federal wire fraud and . I havent slept well in God knows how long, Wright told a Zoom hearing audience, rejecting prosecutors call for a two-year term and saying he could not bring himself to judge Kreuper solely on the worst thing that shes done in her life.. }); Despite her vow of poverty, a California nun embezzled funds from the Roman Catholic school she ran in order to fund her gambling habit, according to federal prosecutors. One former student said Kreuper violated her trust and contributed to her decision to leave the Catholic Church. As part of her efforts to suppress everything, she got school employees to change and destroy financial records during a school audit. I couldnt help think this is harsher than Club Fed, he said, using a nickname for low-security federal prisons, where conditions are far less harsh than at other lock-ups. And I don't look at nuns as ordinary people. Until this last spring, Kreuper was the principal of St. James Catholic School in Torrance and Chang was its vice . A federal judge sentenced Sister Mary Margaret Kreuper, a nun and former Catholic school principal, to a year in prison for embezzling more than $835,000 from the school she ran to fund a more secular lifestyle including gambling trips. Copyright 2023 by City News Service, Inc. All Rights Reserved. The Torrance Police Department, the FBI and IRS Criminal Investigation conducted the investigation in this matter. (CBSLA). Now Mary Margaret Kreuper, 80, is set to spend a year and a day in prison followed by two years of supervised release. Mary Margaret Kreuper was the principal of the elementary school for 28 years. Kreuper has paid back $10,000 of what she owes, according to The Long Beach Press-Telegram. As the school's principal, she was responsible for managing money received by the. Kreuper, who had taken a vow of poverty, admitted in the plea agreement to diverting school funds into the St. James Convent account and the St. James savings account and then using the diverted funds "to pay for expenses that the order would not have approved, much less paid for, including large gambling expenses incurred at casinos and certain credit card charges. Wright also said that as someone who had been educated by nuns, "unlike most cases, this one will be a struggle.". A California nun is heading to jail after she admitted to stealing more than $835,000 in funds from a Catholic school to pay off her credit card and gambling debts. But this week, prosecutors said Sister Mary Margaret, 79, had agreed to plead guilty to stealing more than $835,000. Over the course of the scheme, Kreuper admitted to causing $825,339 in losses to St. James Catholic School. }); hitType: 'event', eventCategory: event.slot.getSlotElementId(), The 80-year-old nun also was ordered to pay a total of. According to Press-Telegram, the embezzlement scandal also involves Sister Lana Chang who taught eighth-grade students at the elementary school came to light after a routine audit of procedures that were conducted ahead of Kreuper's retirement. (Youtube/KCAL) } The retired principal of a Catholic elementary school in Torrance who embezzled more than $835,000 in school funds to support a gambling habit was sentenced to one year in prison on Monday. }); He settled on one year and a day in prison. I have sinned, Kreuper said during a Monday teleconference, according to The New York Daily News. Online prison records do not yet show Kreuper in federal custody. The couple sacrificed family trips and restaurant meals to pay for their children to attend a Catholic school that would build moral character, he said, but instead several of them now question their faith. An independent forensic auditor to perform a review to causing $ 825,339 in losses St.! 8, and more, 80, of Los Angeles, entered her plea to fraud!, June 8, and prosecutors at the same time filed a plea agreement Beach Press-Telegram embezzling from! For managing money received by the was the principal of the elementary school for 28 years nun #! 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