A Los Angeles nun and school principal who stole more than $800,000 to pay for a gambling habit was sentenced Monday to a year in federal prison. For three years, Byrne told the judge, the nuns in her order have kept her under severe restrictions at a convent. Sr. Mary Margaret Kreuper, CSJ and Sr. Lana Chang, CSJ, who both retired this year from St. James Catholic School in Torrance, are alleged to have misappropriated nearly $500,000 from the school.. Though the statutory maximum on those two charges was 40 years, prosecutors asked that she serve two, according to Courthouse News, and the judge in the case sentenced the senior citizen to just 12 months. The church was made aware of the scheme around June when it began a routine audit in response to Kreupers retiring. },false) As soon as she was confronted, she accepted full responsibility for what she had done and she has cooperated fully with law enforcement and the Archdiocese. 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.. 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 for. In private letters to Wright and remarks at the video hearing, some former St. James students asked him to put the nun behind bars. 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. Two Catholic school nuns accused of embezzling about a half-million dollars in tuition, fees and donations from a school allegedly used some of the money to gamble in Las Vegas, according to officials cited in a news report. After reviewing all the letters, Wright said, it appeared most families had forgiven Kreuper. It said the parish, school and the Archdiocese: "Reported the matter and fully cooperated with authorities in the criminal investigation," adding: "We continue to offer our prayers for all impacted by this matter," CBS 9 reported. https://t.co/sk6S5pmKk7, She used the money "to pay for expenses that the order would not have approved, much less paid for." The archdiocese did not immediately respond to NBC News' request for comment. U.S. District Judge Otis D. Wright II has set sentencing for February 7, 2022, when he would expect her to make a statement. A Los Angeles nun jailed for stealing more than $800,000 to fund a gambling habit has admitted "I have sinned". We need to send a message that embezzling and betraying is not OK no matter who you are, no matter what your age or circumstance, Rhilinger told the judge. ga('ads.send', { Official websites use .gov Sister Mary Margaret Kreuper, 80, who took a vow of poverty, begged a judge to show . eventCategory: event.slot.getSlotElementId(), 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, according to the US Attorney's Office, California. She is very sorry for any harm she has caused.". California nun, 79, to admit to stealing $835K from school funds. Kreuper controlled accounts at a credit union, including a savings account for the school and one established to pay the . When confronted by the Archdiocese, she said "her actions were justified because priests were paid more than nuns," the site reported. As principal -- a position she had for nearly 30 years before she retired -- Kreuper was responsible for the money the school received to pay for tuition and fees, as well as for charitable donations, according to documents filed in Los Angeles federal court. Kreuper also falsified the school's monthly and yearly financial reports to hide her embezzlement and, when questioned by parents about the school's resources, told them "there was no money for an awning at school and no money for field trips," prosecutors said. [emailprotected]. Kreuper was sentenced to one year in prison Monday and told to pay back the money. window.googletag.cmd.push(function() { Let us pray for our school families and for Sister Mary Margaret and Sister Lana," he added. Warmer storms could cause problems, Two nuns known for their casino outings allegedly stole at least $500,000 from a Torrance school, Torrance Catholic school embroiled in nun theft scandal can be sued for firing teacher with breast cancer, 19 cafes that make L.A. a world-class coffee destination, Shocking, impossible gas bills push restaurants to the brink of closures, Im visiting all 600 L.A. spots on the National Register. 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. When the Archdiocese of Los Angeles first confronted Kreuper about her misconduct, she argued that priests are better paid than nuns, and said she believed she deserved a raise, according to the government. 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. Auditors at the meeting said that checks made out to the school for tuition and other fees first went to Kreuper before being handed over to the bookkeeping staff. 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. Wright told Kreuper shed been one heck of a teacher during her 62 years as a nun. He is a priest in the Missionary Oblates of Mary Immaculate and a former president of the Canadian Canon Law Society. As part of her role as the head of the institution, Kreuper oversaw all funds the school received for tuition fees and charitable donations. Kreuper promised to follow more closely in Christs footsteps and spend the rest of her life trying to make amends. We pray that in time those impacted will find healing and the seeds of forgiveness. 2021 CBS Broadcasting Inc. All Rights Reserved. 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 Tahoe. Sister Mary Margaret Kreuper admitted embezzling $835,000 from St James Catholic School in the LA suburb of Torrance. Shes 80 years old. 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. A bookkeeper who knew about the nuns' scheme voluntarily took a leave of absence during the investigation, Michael Meyers, the churchs monsignor, said during the meeting, according to the Press-Telegram. '', U.S. District Judge Otis D. Wright II said at last year's plea hearing that he was raised as a Roman Catholic, "and was educated by nuns. Torn between parents and students who forgave her and those who demanded retribution for her theft of tuition money that she used to pay for Las Vegas and Lake Tahoe vacations, U.S. District Judge Otis D. Wright II acknowledged his own anguish in finding a punishment to fit the crime. A .gov website belongs to an official government organization in the United States. The nun has also been asked to pay a total of $825,338 in restitution to St. James Catholic School. Now Mary Margaret Kreuper, 80, is set to spend a year and a day in prison followed by two years of supervised release. She was sentenced to prison on Monday, February 7, 2022, for embezzling hundreds of thousands of dollars from the school funds. 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. Please logout and login again. Author of the article: 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. In conjunction with the criminal information, prosecutors filed a plea . 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. 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. pg.acq.push(function() { / KCAL News. She will appear for an arraignment at the United States District Court on July 1. The family of Joseph includes many more than just the sisters. Defense attorneys said Kreuper became a nun when she was 18 years old, and for the next 59 years "dedicated her life to helping others and educating children in Archdiocesan schools. She was sentenced to 12 months and one day in federal prison in addition to . 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. Kreuper had pleaded guilty in July to one count each of wire fraud and money laundering. Poonam Kumar told the judge. Here are 10 you cant miss, Review: A reimagined Secret Garden fails to flower anew at the Ahmanson Theatre, Letters to the Editor: Trumps perfect call to Georgia was wrong. ", In a statement, the Archdiocese of Los Angeles said that: "The community of faith at St. James was shocked and saddened by these actions.". 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