If Kreuper has no prior criminal history, under federal sentencing guidelines the sentencing range should be between 41 and 57 months (between around three-and-a-half and five years), though the court will have the final say in her punishment. Sister Mary Margaret Kreuper, who worked as the school principal for 28 years, and Sister Lana Chang, a teacher at the school for 20 years, reportedly bilked the funds over a period of at least a . Mary Margaret Kreuper, 80, of Los Angeles, was sentenced to a year in prison and ordered to pay $825,338 in restitution. Sister Mary Margaret Kreuper, 79, was charged with one count of wire fraud and one count of money laundering after she admitted to investigators that she embezzled hundreds of thousands of. Kreuper originally pleaded guilty to one count of wire fraud and one count of money laundering back in 2021. 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". Kristen Biel would return to teaching elsewhere while fighting her case in court, but in June 2019, she died. Sister Mary Margaret Kreuper, of Los Angeles, was sentenced Monday to one year and one day for fraud and money laundering charges. She claimed that she was fired after she told her superior, Sister Mary Margaret Kreuper, that she had been diagnosed with breast cancer. A Los Angeles nun jailed for stealing more than $800,000 to fund a gambling habit has admitted "I have sinned". For the second time in as many weeks, the U.S. Supreme Court is tackling a major religion case. As soon as she was confronted, she accepted full responsibility for what she had done and she has cooperated completely with law enforcement and the archdiocese, the statement said, adding that she has been suffering from a mental illness that clouded her judgment. The account was opened in 1997 but had not been used in years, until Sister Mary Margaret started diverting checks into the forgotten account. 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According to prosecutors, Kreuper admitted that she 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.. Kreuper, 79, was charged Tuesday with one count of wire fraud and one count of money laundering, and in a plea agreement pleaded guilty to both charges, the Associated Press reported. })(); Adriana Kuch attackers identified on social media in planned attack, St Louis execution shooting of homeless man: arrest made, Karen calls cops on black men shovelling snow for free outsider her home, Idaho murder suspect had multiple photos of female victim on phone, Torrance Catholic school nuns steal $500K for gambling habit- church resists charges. The Archdiocese appears to have now changed course-with ABC Newsreporting a criminal case may now be in the works following deepening investigations. When this was going on, she was not nearly as old. Sister Mary Margaret was caught in 2018. Kreuper, he said, quoting an expert, was addicted to gambling, adding that it "is not an excuse for what she did merely an explanation". She's obviously not employable.". But Fisher notes that the schools in these cases do not claim any religious reason for firing the teachers. They added that "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.. Recap: Court Weighs Whether Religious Schools Can Fire Lay Workers, Listen Live: Supreme Court Arguments Schedule, Top 5 Moments From The Supreme Court's 1st Week Of Livestreaming Arguments, Fervor Vs Compromise At Supreme Court Birth Control Arguments, Supreme Court Arguments A Tech Success, But Format Strangles Usual Give-And-Take, Supreme Court Considers Anti-Prostitution Pledge In HIV/AIDS Funding Case. Meyers reported it to the Archdiocese of Los Angeles, who hired their own auditor. Michael Meyers, the pastor at St. James Church. Chief Justice John Roberts announced the opinion from the bench, noting that the teacher who brought the case was not a lay teacher. Yes, a Nun Has Admitted to Embezzling $835,000 from a Catholic School Sister Mary Margaret Kreuper has been charged with wire fraud and money laundering for her role in a scheme to defraud a. We use cookies to better understand website visitors, for advertising, and to offer you a better experience. Mary Margaret Kreuper was so close to getting away with it. Kreuper did not recognize she had a gambling problem until she was accused of embezzling more than $835,000 from the school, Byrne said. Kreuper pleaded guilty last July. She is expected to report to prison by June, Byrne said, and will be released in 2023. Claiming mental illness at her age is a play for probation or the ability to serve her sentence at home. Prosecutors said that she had also instructed school employees to alter and destroy financial records. Local 10 News reported Sister Mary Margaret Kreuper and Sister Lana Chang of St.James Catholic School (both retiring earlier this year) using money from the school's funds to live a life of luxury over the last ten years. She must give up the right to control or benefit from personal property and commits herself to live interdependently within a community. The judge settled on a prison sentence of one year and a day and also ordered Kreuper to pay back the money she had stolen from the school. The principal allegedly withheld some of the checks and deposited them into the other account, endorsing the back with a stamp that read, St. St. James teacher Lana Chang admitted along with Kreuper to the embezzlement in 2018, following each of their retirements earlier that year. Kreuper is due in court on 1 July and faces up to 40 years in federal prison. When she announced she was retiring in September 2018, the archdiocese conducted a financial review for the incoming principal. Shes very, very remorseful and very ashamed, he said. "I wanted to face them. The embezzlement helped to fuel her gambling habit. A retired nun has admitted to embezzling $835,000 over 10 years from a Catholic school in California to fund her gambling habit, according to federal prosecutors. Kreuper as the school's principal, handled all tuition payments, with the sister depositing checks into a separate . The scheme was uncovered during an audit after Kreuper retired in 2018. The schools denied that Morrissey-Berru and Biel were fired for discriminatory reasons. All rights reserved. Kreuper became principal at St. James Catholic School in 1990, a position she held for 28 years until her retirement in September 2018. My actions were in violation of my vows, my commandments, the law and, above all, the sacred trust that so many had placed in me. Sister Mary Margaret Kreuper, who was principal of St. James Catholic School in Torrance, California, used the school funds to . Local 10 Newsreported Sister Mary Margaret Kreuper and Sister Lana Chang of St.James Catholic School(both retiring earlier this year) using money from the schools funds to live a life of luxury over the last ten years. On. They say she also instructed employees at the school to alter and destroy financial records during a school audit, investigators found. var znscr = document.getElementsByTagName('script')[0]; Kreuper admitted embezzling about $835,000 (616,000) in donations, tuition and fee money between 2008 and 2018. Parents and alumni of St. James told KTTV-TV in late 2018 that they hoped the school followed through with pursuing criminal complaints against Kreuper and Chang. In June 2021, Mary Margaret Kreuper, a Catholic nun in the Los Angeles congregation of the Sisters of St. Joseph of Carondelet, entered into a plea agreement with the U.S. District Attorney's Office for the Central District of California, whereby she committed to pleading guilty to one count of wire fraud and one count of money laundering, and admitted taking part in a 10-year scheme to defraud St. James' Catholic School, an elementary school in Torrance, California, where she had served as principal for 28 years, to the amount of $835,000. Her attorney said Kreuper will be on supervised release for two years once her prison sentence is complete. According to prosecutors, Kreuper had stolen whats estimated to have been the tuition for 14 students at the K-8 school in funds that were intended to further the students education, not fund [Kreupers] lifestyle., When confronted, the defendant admitted to stealing the money, Kumar said. In 2012, the Supreme Court sought to answer that question, agreeing unanimously that a fourth-grade teacher who was commissioned as a minister could not sue over her firing by a Lutheran school. During his sentencing, Wright, a 2007 appointee under President George W. Bush, praised Kreuper for her tenure as one heck of a teacher at the school. "As soon as she was confronted she accepted full responsibility for what she had done and she has cooperated completely with law enforcement and the Archdiocese,the pair said in a joint statement. But Fisher counters that function can't be the only criterion because many employers at religiously affiliated institutions sincerely believe that all of their employees perform important ministerial functions, from nurses who care for the sick, to summer camp counselors for troubled teenagers, and athletic coaches who mold the character of their charges and often lead them in prayer. The money she stole was used to pay off credit card charges and "large gambling expenses incurred at casinos", the US attorney's office said. I have sinned, Ive broken the law and I have no excuses, Kreuper said at the sentencing over Zoom. The Rev. She wanted more than she had.. He said he could not bring himself to judge Kreuper solely on "the worst thing that she's done in her life", the LA Times said. Sister Mary Margaret Kreuper, 80, was sentenced on Monday to 12 months and one day in federal prison by U.S. District Judge Otis D. Wright II and ordered to pay $825,338 in restitution to the St. James Catholic School in Torrance, California . She was so hurt that they could be doing this to her.". In June 2021, Sister Mary Margaret Kreuper admitted to embezzling $835,000 from the Catholic school where she served as principal for 28 years. As a Catholic nun, Sister Mary Margaret Kreuper had taken a vow of poverty. Starting in 2008, Kreuper diverted school funds to pay for expenses that the order would not have approved, much less paid for, prosecutors say. The now-retired nun (I didnt know nuns could retire) admitted to stealing about $835,000 in donations, tuition and fees. Kreuper, who took vows of poverty at age 18 and spent 59 years in the religious order, said in her plea agreement that she had begun diverting money from the schools tuition and donation account to a savings account that funded the living expenses of the nuns who worked at the school and then used some of the money herself. I wanted them to see me," he says "and I just pray that the justices see the right way.". Advice for the relationships in your life and how to boost your own well-being. Jaclyn Peiser contributed to this report. Those reports were accurate, and we are issuing a rating of "True.". Rassbach will tell the Supreme Court that not everyone who works at a religious school or institution is exempt from these laws. She is looking forward to getting on with life and will get treatment for her gambling addiction, he said. She would endorse the checks with a stamp saying St. Sister Mary Margarets lawyers said that she is very remorseful, and has been suffering from a mental illness that clouded her judgement and caused her to do something that she otherwise would not have done.. A now-retired nun has pleaded guilty to stealing more than $800,000 from the St. James Catholic School in Torrance, California, from 2008 to 2018, the last decade of her 28-year tenure as principal of the institution.Sister Kreuper who took a vow of poverty confessed to using the . After much public outcry to pursue legal action, the archdiocese hired a former FBI agent to investigate the two nuns. In a statement to The Washington Post, Kreupers lawyers said she is very remorseful and sorry for any harm she has caused. This article was published more than1 year ago. Instead of sitting in the Supreme Court chamber, though, Biel, like the rest of us, will be at home listening. The embezzlement helped to fuel her gambling habit. It wasnt until the house of cards came crashing down that she realized what she had done and started to go therapy, where she realized this addiction was a contributing factor. The Daily Caller | 1775 Eye Street NW | Suite 1150-290 | Washington, DC 20006. Court documents show that she also oversaw the St. James Convent Account, a savings account that funded the living expenses of the nuns who worked at the school. While claiming to live financially destitute like Jesus Christ is probably blasphemous, using the old Im poor, but my uncle is rich line and getting away with it speaks to Sister Mary Margarets impressive poker face. Two nuns who formerly worked at St. James Catholic School in Torrance, California, confessed to embezzling at least $500,000 from the school so that they could gamble it away at Las Vegas casinos, the Archdiocese of Los Angeles said at a meeting with parents and alumni on Monday. Rather, he said, she is religiously trained and a commissioned minister of the church. Kreuper has agreed to plead guilty to the charges in a deal with prosecutors, the US Attorney's Office of California said in a statement. In total, across a period of 10 years, Kreuper siphoned $835,339 from the school's accounts. In these records you will find the most recent and the most authoritative articles on the topics, people and events that are shaping the . 5 Sister Mary Margaret Kreuper, 79, of Los Angeles, was charged with one count of wire fraud and one count of money laundering Credit: KCAL 9 5 The two holy women were eventually caught out after a recent audit. Asking for the nun to be spared from prison, her lawyer Mark Byrne told the court she has been kept under "severe restrictions" at a convent by the nuns in her order. But she appreciates the outpouring of support shes received from people who have decided that rather to judge her on these actions toward the end of her career and life, theyve taken her whole life into consideration.. She then used some of the funds to pay for "large gambling expenses incurred at casinos and certain credit card charges.. Despite the ongoing thefts, financial statements revealed the church continuing to operate in the black as the two sisters clandestinely plowed through church funds. Get the news that matters most delivered directly to your inbox. A now-retired nun has pleaded guilty to stealing more than $800,000 from the St. James Catholic School in Torrance, California, from 2008 to 2018, the last decade of her 28-year tenure as principal of the institution. Snopes and the Snopes.com logo are registered service marks of Snopes.com. In the process, Kreuper falsified monthly and annual reports to the St. James 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. 2022 Blaze Media LLC. But the court's eventual decision could reach beyond teachers, affecting the lives of millions of other employees who work for religiously affiliated institutions. An 80-year-old nun who gambled away more than $835,000 in school funds was sentenced to twelve months and a day in federal prison Monday, according to a press release from the United States Department of Justice (DOJ). The nuns order says the woman are cooperating and intend to pay all of the money back in full. The Torrance Police Department, the FBI and IRS Criminal Investigation conducted the investigation into the allegations against Kreuper. One article quoted a church accountant as ball-parking the amount at $500,000. Officials made the discovery in June after performing a routine audit following Kreupers retirement. Mark Byrne, Kreupers attorney, told The Post his client had accepted the judges one-year prison sentence, even if they were pushing for probation. Copyright 2008-2023 BroBible. Associate Editor at BroBible covering all five major sports and every niche sport imaginable, found primarily in the college space. For decades, lower courts have recognized an exception to the nation's employment laws for ministers. When Sister Mary Margaret Kreuper was 18 years old, she vowed to dedicate her life to the education of children and helping those in need. Sister Mary Margaret was making bank (very illegally) through laundering and threw everyone off of the scent by reminding them of her vow of poverty. (Shutterstock) LOS ANGELES, CA The retired principal of a Catholic . It's very disturbing. Kreuper was in charge of the schools credit union account, where she was meant to deposit cash and checks from tuition, fees and donations. Each of the counts carries a maximum sentence of 40 years behind bars. News of the indiscretions led to the archdiocese and the church announcing they wouldnt file criminal charges against the nuns after apologizing for their actions. We do know that they had a pattern of going on trips. Months after Kreuper admitted to stealing hundreds of thousands of dollars, the 80-year-old was sentenced on Monday to a year and a day in federal prison. If these teachers are exempt, he adds, then millions of employees are automatically exempt from laws enacted by Congress to protect workers, simply because they perform some duty their employer considers religious. She also controlled two savings accounts, one for the school and one for the nuns living expenses. Poonam Kumar, the assistant U.S. attorney for the Central District of California who prosecuted the case, told The Washington Post that Kreuper had diverted checks and cash from St. James parents into a long-overlooked church account to pay for large gambling expenses incurred at casinos and certain credit-card charges. The actions were done before the money could be accounted for, displaying repetitive and deceptive behavior, over and over again, the prosecutor said. At the heart of this dispute is the First Amendment ban on government establishment of religion and the separation of church and state. (RELATED: Nuns Allegedly Stole Catholic School Funds For Years: Report). She betrayed the trust of people in the community, the parents, students, the archdiocese and the sisters. During the time period this was happening, she had no idea this was happening. Kreuper was principal at the school for 28 years. The Los Angeles native embezzled more than $835,000 from the Catholic school in Torrance, Calif., where she was principal to pay for 10 years of personal expenses, including her many gambling trips to Las Vegas and Lake Tahoe, according to federal prosecutors. A spokesperson with St. James did not immediately respond to a request for comment Tuesday. Is A Hot Dog A Sandwich? This is because, as part of the plea deal, the prosecutors have agreed to recommend to the court an "offense level" of 25 for Kreuper's crimes, and will further advise the court to reduce that to 23, or even 22. Sister Mary Margaret Kreuper used tuition fees and donations to a California Catholic school to subsidize her casino expenses. Sister Lana Chang, a vice principal who was initially implicated in the scheme, was not charged. Police will still present the case to the Los Angeles County District Attorneys Office, NBC reported. BroBible is the #1 place on the internet for the very best content from the worlds of sports, culture, gear, high tech, and more. Maryland man, 52, sues bar over ban cause he was old Missouri daughter secretly donates kidney to ailing dad. But how do we define who is a minister and who is not? Sister Mary is not full of grace. The 79-year-old former nun pleaded guilty to federal charges for stealing more than $800,000 from St. James Catholic School earlier this month. The 80-year-old nun also was ordered to pay a total of. 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 . 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. LOS ANGELES (CBSLA) Mary Margaret Kreuper, a now-retired nun who was the principal of St. James Catholic School in Torrance, has agreed to plead guilty to fraud and money laundering charges. Were those functions to be considered ministerial, Fisher says, the results would be dire. This large chunk of stolen money came as the St. James Catholic School was operating under tight budgets with small concerns that the finances could not continue to keep the door open. She was the principal and had been colluding with longtime teacher Sister Lana Chang on the operation, per the Daily Breeze. His findings unraveled the entire scheme and, eventually, federal charges were levied against Sister Mary Margaret. She spent the next 59 years of her life dedicated to the church, they said. For years, St. James parents were told that the school was cash-strapped and unable to upgrade textbooks that were 20 years old, fund field trips or simply install an awning for the outdoor lunch area. znscr.parentNode.insertBefore(zergnet, znscr); This time the question is whether lay teachers at parochial schools are exempt from the nation's fair employment laws. According to Newstalk.com, the school indicated in a letter to parents at the time that they did not want to pursue criminal charges against the duo, after they both expressed "desire and inten[t] to make complete restitution to St. James School.". She claimed that the salary differential between nuns and priests meant she was owed this money, which is inconsistent with the vow of poverty she took.. Sister Mary Margaret became a nun when she turned 18 in 1960 and took a vow of poverty. But. The rich uncle was the parents of the St. James students.. In December of that year, fraud allegations emerged against her and another nun, Sister Lana Chang, who had taught at the school. These nuns took a vow of poverty and said, oh no, weve got a rich uncle, one parent told the Press-Telegram. Wright acknowledged in court that while he struggled to judge Kreuper, a decorated principal, on the worst thing that shes done in her life, the impact nuns have on young people in leading by example is crucial and the nuns actions gambled away that guiding principle. Sister Mary Margaret Kreuper, the retired principal of St. James Catholic School in California, has been sentenced to one year and a day in prison on charges of money laundering and federal wire. An old unused bank account was the giveaway. A spokesperson for the order confirmed for Snopes that, as of June 9, 2021, Kreuper was still a member of the Los Angeles congregation, but the restrictions against her remained in place, and she was no longer involved in any public ministry. Kreuper was 18 years old when she took her vow of poverty, according to her lawyers, and spent the next 59 years of her life dedicated to the church. Investigators described a system in which Kreuper handled all checks made out to the school for tuition and fees before handing them over to bookkeeping staff for processing. As principal, Kreuper had been in charge of the school's credit union account, where she was meant to deposit cash and checks from tuition, fees and donations. She claimed that she was fired after she told her superior, Sister Mary Margaret Kreuper, that she had been diagnosed with breast cancer. It turns out that at the time Kristen Biel learned she had breast cancer, Kreuper, the school principal who fired her, was embezzling large amounts of money to go on gambling sprees in Las Vegas. (Photo by PATRICK T. FALLON/AFP via Getty Images). 2020 THE SUN, US, INC. ALL RIGHTS RESERVED | TERMS OF USE | PRIVACY | YOUR AD CHOICES | SITEMAP, Sister Mary Margaret Kreuper, 79,of Los Angeles, was charged with one count of wire fraud and one count of money laundering, She defrauded St. James Catholic Schoolover a period of 10 years, As principal, Kreuper had been in charge of the school's credit union account, where she was meant to deposit cash and checks from tuition, fees and donations, Also implicated in the scheme was Lana Chang, who worked as a teacher at St. James before becoming vice principal, Nun, 79, STOLE $835,000 from Catholic school over 10 years to fund her gambling trips, Teenage boy shot friend, 15, in face with his grandad's shotgun after 'being repeatedly humiliated and bullied by him', Apple pie could be CANCELED after writer links treat to genocide and cultural appropriation, Meghan Markle and Prince Harry have 'done nothing but seek publicity' since leaving UK, former Palace aide claims, Woman, 21, records terrifying moment Uber driver relentlessly pesters her for sex despite her telling him 'no', Inside Bidens 30million G7 ring of steel with warships, The Beast & 400 Secret Service agents watching his every move, Murder probe scuppered after alligator makes off with dead body found floating in river, JBSA Lackland put on lockdown after shooting outside Air Force base in San Antonio. 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