In June 2021, Sister Mary Margaret Kreuper admitted to embezzling $835,000 from the Catholic school where she served as principal for 28 years. You can be proud of that, he said. Prosecutors had recommended a 24-month prison sentence, three years of . (RELATED: Nuns Allegedly Stole Catholic School Funds For Years: Report). She is looking forward to getting on with life and will get treatment for her gambling addiction, he said. At least I hope you do.. 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. They and their Order pray that you have not lost trust or faith in the educators and administrators of the school. Around the same time, a St. James parent asked question at a school meeting about an old tuition check that had an endorsement on the back of check that did not line up with the schools primary account, the prosecutor said. Kreuper was in charge of the schools credit union account, where she was meant to deposit cash and checks from tuition, fees and donations. Advice for the relationships in your life and how to boost your own well-being. 1995 - 2023 by Snopes Media Group Inc. Nun who stole $835K from school to fund gambling habit is going to prison: I have sinned, Carolyn Hax: Boyfriends visits leave single mom with no time for herself, Miss Manners: What to do when a fellow diner was rude to server. This article was published more than1 year ago. At the time, the Sisters of St. Joseph of Carondelet imposed restrictions on the two women, writing in a news release that: "The two Sisters are removed from all public ministry. 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. 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 . Along with her sentence, she was ordered to pay $825,338 in restitution. Maryland man, 52, sues bar over ban cause he was old Missouri daughter secretly donates kidney to ailing dad. Meyers reported it to the Archdiocese of Los Angeles, who hired their own auditor. These nuns took a vow of poverty and said, oh no, weve got a rich uncle, one parent told the Press-Telegram. })(); 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. On. Kreuper, he said, quoting an expert, was addicted to gambling, adding that it "is not an excuse for what she did merely an explanation". Maybe if she had used her poker face to see more success in Vegas, she wouldnt have been in this position to begin with. This time the question is whether lay teachers at parochial schools are exempt from the nation's fair employment laws. Sister Mary Margaret Kreuper, 79, of Los Angeles, was charged with one count of wire fraud and one count of money laundering on Tuesday for defrauding St. James Catholic School over a period of 10 years. One article quoted a church accountant as ball-parking the amount at $500,000. Mark Byrne, Kreupers attorney, told The Post his client had accepted the judges one-year prison sentence, even if they were pushing for probation. The first teacher, Agnes Morrissey-Berru, claimed her employment contract was not renewed after 16 years service because of illegal age discrimination. Those reports were accurate, and we are issuing a rating of "True.". I don't drink coffee, I wake up jacked. Kreuper did not recognize she had a gambling problem until she was accused of embezzling more than $835,000 from the school, Byrne said. Her attorney said Kreuper will be on supervised release for two years once her prison sentence is complete. Sister Kreuper who took a vow of poverty confessed to using the embezzled funds to pay for personal expenses, including her gambling habit. A spokesperson with St. James did not immediately respond to a request for comment Tuesday. Investigators determined the money went to accounts the school didnt know about, Kumar said. Told one parent, We were an ATM, and people know it and they wont ask for justice., The embezzlement and the churchs seeming reluctance to act has led to some locals saying the scandal underscores a failure of church leadership- while also noting that only a police investigation can be trusted.. 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. Also implicated in the scheme was Lana Chang, who worked as a teacher at St. James before becoming vice principal. Mary Margaret Kreuper (Image source: KTTV-TV video screenshot). The second suit was brought by Kristen Biel against St. James School in Torrance. Mary Margaret Kreuper, 80, of Los Angeles, pleaded guilty in July to federal wire fraud and money laundering charges. There is another, and rather rich, twist to one of the cases before the court Monday. Kreuper belongs to the order of the Sisters of St. Joseph of Carondelet. Parents said the two nuns were big on moral. Indeed, he observes, they would be exempt not just from anti-discrimination laws, but also laws that protect individuals from retaliation when they report misbehavior to authorities, and laws imposing wage and hour regulations. The sisters, described as best friends, both retired earlier this year. The church body in the case commissions teachers as ministers, but does not ordain them. Five of the nine justices hearing Monday's case attended Catholic secondary schools, and several of them have sent their children to parochial schools as well. According to the outlet, "Kreuper acknowledged diverting money to pay for personal expenses that included credit card charges and 'large gambling expenses incurred at casinos,' the U.S. attorney's office said.". German cardinal offers to resign over sexual abuse catastrophe, Original reporting and incisive analysis, direct from the Guardian every morning. Apparently, the Vegas trips were common knowledge, but the nuns explained that the gambling excursions were gifts from a rich uncle. The DOJ noted that Kreuper had diverted the school funds to pay for expenses that the order [of nuns] would not have approved. Among the expenses Kreuper accrued were those from casinos and credit card charges. By that math, Sister Mary Margaret was only 66 when the behavior began. All rights reserved. In June 2021, several local, national, and international news outlets reported that a nun in California had admitted, and was preparing to plead guilty to, embezzling $835,000 from the Catholic school she ran for three decades. I wanted them to see me," he says "and I just pray that the justices see the right way.". It's just that you have to look and see what kind of function are they doing.". 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.. 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. Pic: St James Catholic School. We use cookies to better understand website visitors, for advertising, and to offer you a better experience. 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. James School, before tapping the funds for personal use. BroBible is the #1 place on the internet for the very best content from the worlds of sports, culture, gear, high tech, and more. 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. 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. 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. She faces up to 40 years in federal prison, but is claiming mental illness. She was so hurt that they could be doing this to her.". znscr.parentNode.insertBefore(zergnet, znscr); The Rev. They have been removed from their residence, placed in a religious house under the supervision of community leadership, and their freedom of movement is confined.". As outlined in her plea agreement, beginning in 2008, Kreuper began depositing tuition checks and donations into the school's account and then diverted the money into the covenant account. Sister Mary Margaret became a nun when she turned 18 in 1960 and took a vow of poverty. The pair confessed to using the funds for gambling excursions to Las Vegas and other spending sprees. She became principal at St. James Catholic School, about 20 miles outside downtown Los Angeles, in 1990. 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. Of course, at 79, the likelihood that Sister Mary Margaret will see any jail time is relatively slim. Sister Mary Margaret Kreuper, 80, admitted stealing the money from St James Catholic School in the L.A. suburb of Torrance, where she was school principal for nearly 30 years. 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. Other parents remarked it was well-known that Kreuper and Chang traveled often and went gambling, with the two women claiming they were gifted the trips by a rich relative. 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, the judge said, according to the Los Angeles Times. Each of the counts carries a maximum sentence of 40 years behind bars. 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 . "She doesn't have anywhere to go," he said. Although, formally speaking, Kreuper could face a punishment of up to 40 years in prison, it's unlikely she will receive such a long sentence. 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. Dan Mac Guill is a former writer for Snopes. 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. Prosecutors say the nun also ordered school employees to alter and destroy financial records during the audit. By signing up to the Blaze News newsletter you agree to receive electronic communications from Blaze Media that may sometimes include advertisements or sponsored content. 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. On Monday night, the Archdiocese of Los Angeles told parents and alumni at a meeting that Sisters Mary Margaret Kreuper and Lana Chang, described as best friends, took around $500,000 from St . 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. The Greatest Food Debates Of All Time, Answered Pineapple On Pizza? 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. When first confronted by the Archdiocese of Los Angeles, Sister Mary Margaret Kreuper blamed the gender pay gap and said she deserved a raise because "priests get paid better than nuns". She was the principal and had been colluding with longtime teacher Sister Lana Chang on the operation, per the Daily Breeze. Officials pointed out that Kreuper had taken a vow of poverty as a nun. In a statement to The Washington Post, Kreupers lawyers said she is very remorseful and sorry for any harm she has caused. At the heart of this dispute is the First Amendment ban on government establishment of religion and the separation of church and state. "These teachers taught the Catholic faith to these kids more than the parish priest," putting them squarely within the so-called ministerial exception, he says. (RNS) Recently Sister Mary Margaret Kreuper, a Catholic nun who stole $835,000 from a Catholic elementary school in Torrance, California, was sent to prison for a year and ordered to pay the . Because the funds were to be restored, the archdiocese decided not to press criminal charges. The 80-year-old nun pleaded for mercy after stealing $835,339 from an elementary Catholic school to fund her gambling addiction.. Michael Meyers, the pastor at St. James Church. The school soon had a change of heart following pushback. But Fisher notes that the schools in these cases do not claim any religious reason for firing the teachers. She doesn't have any money. For more information about our use of cookies, our collection, use, and disclosure of personal information generally, and any rights you may have to access, delete, or opt out of the sale of your personal information, please view our, Do Not Sell or Share My Personal Information. The 80-year-old nun also was ordered to pay a total of. 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 rich uncle was the parents of the St. James students.. Her husband, Darryl Biel, remembers that day vividly. Now, nearly three years later, she faces up to 40 years in prison and will appear in the Federal District Court in Los Angeles on July 1. When first confronted, Mr Kumar said, the nun claimed she "did it in part because she believes priests get paid better than nuns". A federal appeals court ruled against the schools, which appealed to the U.S. Supreme Court. The judges sentencing came as detractors and supporters showed up over Zoom to testify against or pledge their support for Kreuper, who had been a nun for 62 years. However, the church chose not to press charges against the two nuns. The auditor found that tuition checks, fees and donations were being deposited into a bank account not used by the school. 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.". Kreuper was 18 years old when she took vows of poverty, chastity and obedience, her lawyers told the Post. 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. ", "Just as teaching science out of a fifth-grade textbook doesn't make them scientists, teaching religion for 40 minutes a day out of a workbook doesn't make them ministers," he says. At Monday's argument, Stanford law professor Jeff Fisher, who is representing the teachers, will tell the justices that by the terms of the teachers' contracts and the school handbooks, these teachers were hired to teach academic subjects. Many parents were outraged with the initial decision not to press charges, with some remarking that if the nuns were lay people, they would certainly be in jail according to the presstelegram. 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. Cyclist falls to her death after drawbridge opens while shes on it, Trump tells Joe Rogan to stop apologizing for Spotify controversies, Frozen out of GoFundMe, Canadian protest convoy raises millions on Christian sit. Sister Mary Margaret Kreuper, 79, a former principal at St James Catholic School in Torrance, California, used tuition fees and donations to subsidize casino gambling expenses and credit card. Jaclyn Peiser contributed to this report. Her husband, Darryl Biel, remembers that day vividly. As principal of St. James Catholic School in Torrance, California, she certainly did but while also embezzling more than $835,000 in funds to support her secretive gambling habit. Sister Mary Margaret Kreuper A curated collection of links The Record What are records? In a statement to the Washinton Post her attorneys, Mark A. Byrne and Daniel V. Nixon, said she is very remorseful and sorry for any harm she has caused.. 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.. The tuition checks and funds sent to St. James Catholic School between 2008 and 2018 that were stolen by Kreuper equaled the tuition of 14 different students per year, prosecutors said. 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. The fraud was discovered after an internal investigation at the end of the same year. Kreuper was principal at the school for 28 years. Earlier in June, the former principal of St. James School was charged with wire fraud and money laundering. 66 is still a fairly competent age. They dont want you to see this Big Tech does its best to limit what news you see. "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. 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, 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. As a Catholic nun, Sister Mary Margaret Kreuper had taken a vow of poverty. A Los Angeles nun jailed for stealing more than $800,000 to fund a gambling habit has admitted "I have sinned". Eric Rassbach of the Becket Fund for Religious Liberty, who is representing the schools before the court, disagrees. It was only after she vacated her position that school officials unearthed her fraudulent scheme. But the court's eventual decision could reach beyond teachers, affecting the lives of millions of other employees who work for religiously affiliated institutions. Sister Mary Margaret and Sister Lana were in the clear. She admitted to taking a total of $835,000 in donations from the elementary school, and faces up to 40 years in federal prison. The schools, "have never asserted that either of [the teachers] fell short in any religious duty or adherence to the faith," he says. 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. 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. In total, across a period of 10 years, Kreuper siphoned $835,339 from the school's accounts. Were those functions to be considered ministerial, Fisher says, the results would be dire. I have sinned, Ive broken the law and I have no excuses, Kreuper said at the sentencing over Zoom. Shes very, very remorseful and very ashamed, he said. 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 parents and alumni at Mondays meeting. Julija Garunkstis, a St. James mother who attended the school between 2005 and 2014, said Kreuper had shaken her faith. She is expected to report to prison by June, Byrne said, and will be released in 2023. Ive used this to teach my son that were all human, we all make mistakes, but the power of forgiveness is the most powerful tool that we have.. The two holy women were eventually caught out after a recent audit. The Archdiocese appears to have now changed course-with ABC Newsreporting a criminal case may now be in the works following deepening investigations. These nuns took a vow of poverty and said, Oh no, weve got a rich uncle, parent Jack Alexander said. Sister Mary Margaret was caught in 2018. Sister Mary Margaret Kreuper had taken a vow of poverty. We've received your submission. 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