Make sure you see our stories daily directly to your inbox. 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. She was so hurt that they could be doing this to her.". The principal allegedly withheld some of the checks and deposited them into the other account, endorsing the back with a stamp that read, St. Investigators determined the money went to accounts the school didnt know about, Kumar said. 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.. The Rev. The Greatest Food Debates Of All Time, Answered Pineapple On Pizza? 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. The embezzlement helped to fuel her gambling habit. Her husband, Darryl Biel, remembers that day vividly. We've received your submission. 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. zergnet.type = 'text/javascript'; zergnet.async = true; "I have sinned," Sister Mary told a US . Shes very, very remorseful and very ashamed, he said. She faces up to 40 years in federal prison, but is claiming mental illness. Each of the counts carries a maximum sentence of 40 years behind bars. Her embezzlement activities took place from about 2008-2018. 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. Michael Meyers, the churchs monsignor, said Kreuper was very nervous and anxious during the audit and she reportedly asked staff members to change school records. In December of that year, fraud allegations emerged against her and another nun, Sister Lana Chang, who had taught at the school. Kumar said the nuns instruction to the auditors sparked suspicion, and they reported the incident to Msgr. The pair confessed to using the funds for gambling excursions to Las Vegas and other spending sprees. All rights reserved. Mary Margaret Kreuper (Image source: KTTV-TV video screenshot). 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. She really didnt stay true to it at all, actually. 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 . Chief Justice John Roberts announced the opinion from the bench, noting that the teacher who brought the case was not a lay teacher. 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 . The 80-year-old nun pleaded for mercy after stealing $835,339 from an elementary Catholic school to fund her gambling addiction.. 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". 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. It's just that you have to look and see what kind of function are they doing.". Meyers reported it to the Archdiocese of Los Angeles, who hired their own auditor. They say she also instructed employees at the school to alter and destroy financial records during a school audit, investigators found. 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. 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. She's obviously not employable.". That was the first clue that unraveled a significant scheme. On June 9, for example, Fox News reported that: A retired Los Angeles nun will plead guilty to embezzling $835,000 from the elementary school where she worked in order to cover her gambling habits and other personal expenses, officials said this week. There is another, and rather rich, twist to one of the cases before the court Monday. As a Catholic nun, Sister Mary Margaret Kreuper had taken a vow of poverty. Kreuper was in charge of the schools credit union account, where she was meant to deposit cash and checks from tuition, fees and donations. When staff members finally found the check, they realized that it was not deposited in a St. James account, but a different bank account. Similar articles were published by the Los Angeles Times, KTLA, and Unilad.co.uk. 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. 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"You don't want the government deciding who teaches religion we don't do that in this country that's why we have an establishment clause," says Rassbach. 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. But somewhere along the line, you just ran completely off the road, and I think you understand that. 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 decade, the Press-Telegram reported. "Such action interferes with the internal governance of the church, depriving the church of control over the selection of those who will personify its beliefs.". 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. 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. Margaret Mary Kreuper and Sister Lana Chang were accused of embezzling tuition, fees, and donations made in favor of St. James Catholic School to fund their gambling trips (Sisters of St. Joseph of Carondelet) Kreuper is also accused of directing St. James School employees to alter and destroy financial records during a school audit. 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. He argued that while the money she stole might have affected the schools funding, her actions didnt decrease the quality of education students received at St. James. Sister Mary is not full of grace. 2023 NYP Holdings, Inc. All Rights Reserved, Nun stops burglary with quick thinking and prayers: This is Gods property, Sister Andre, the worlds oldest living person, dies at 118, I was a celibate nun for 24 years then fell in love with a Catholic monk, Priest accused of inviting two nuns to take part in a threesome. Mary Margaret Kreuper, 79, was charged with one count of wire fraud and one count of money laundering on Tuesday and has agreed to a plea deal, according to a release from the U.S. attorneys office for the Central District of California. Officials pointed out that Kreuper had taken a vow of poverty as a nun. On. 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. Sister Mary Margaret became a nun when she turned 18 in 1960 and took a vow of poverty. One parent told the outlet of the situation: "It's crazy. 2023 Blaze Media LLC. He had planned to be in Washington for Monday's argument. Claiming mental illness at her age is a play for probation or the ability to serve her sentence at home. Sister Mary Margaret Kreuper was sentenced to a year and a day in federal prison, months after she admitted to stealing hundreds of thousands of dollars from St. James Catholic School in Torrance . Snopes and the Snopes.com logo are registered service marks of Snopes.com. But they asserted that the courts should dismiss the cases because the teachers were essentially ministers, and thus were not protected under the federal employment laws. Ultimately, "they are not people we understand to be spiritual leaders of the church.". I was wrong, and Im profoundly sorry for the pain and suffering Ive caused so many people., Despite her vow of poverty, nun stole more than $835,000 from a Catholic school, prosecutors 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. Sister Mary Margaret Kreuper, of Los Angeles, was sentenced Monday to one year and one day for fraud and money laundering charges. Also implicated in the scheme was Lana Chang, who worked as a teacher at St. James before becoming vice principal. 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. Mary Margaret Kreuper, 80, of Los Angeles, pleaded guilty in July to federal wire fraud and money laundering charges. After taking a vow of poverty, her excuse for lavish gambling expenses is hilarious. 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. We do know that they had a pattern of going on trips, we do know they had a pattern of going to casinos, and the reality is, they used the account as their personal account, Marge Graf, an attorney representing St. James, told a group of parents at a meeting in 2018. 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. She admitted to taking a total of $835,000 in donations from the elementary school, and faces up to 40 years in federal prison. She spent the next 59 years of her life dedicated to the church, they said. 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. Her husband said that in her final days, the couple talked extensively about the case. 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 money she stole was used to pay off credit card charges and "large gambling expenses incurred at casinos", the US attorney's office said. Sister Mary Margaret Kreuper had taken a vow of poverty. 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The St. James Catholic Church school in Torrance, California, on February 7, 2022. But. 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 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. At the sentencing hearing, those who spoke were split on their feelings toward the nun and what she had done. Earlier in June, the former principal of St. James School was charged with wire fraud and money laundering. This material may not be reproduced without permission. His . Sister Lana Chang, a vice principal who was initially implicated in the scheme, was not charged. "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. Sister Mary Margaret and Sister Lana were in the clear. 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. By Colin Groundwater June 9, 2021 Two summers ago, Sean Flynn reported a wild story for GQ about two very. The exception extends to religiously affiliated institutions when they fire employees who serve in a religious capacity akin to that of a minister. It's very disturbing. To know that she had been taking money from my parents and my peers parents the whole time I was there is extremely shocking, and it sways me away from the Catholic Church, Garunkstis said. Sister Mary Margaret Kreuper admits to stealing over $835k from a Catholic School. ", "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. Sister Mary Margaret Kreuper, who was principal of St. James Catholic School in Torrance, California, used the school funds to pay for personal expenses, including gambling trips, according to the release. 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. "She's 80. 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. I have sinned, Ive broken the law and I have no excuses, Kreuper said at the sentencing over Zoom. 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. As headteacher at St James Catholic School, which she ran for 28 years, she "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", prosecutors said. 1995 - 2023 by Snopes Media Group Inc. 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 . 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. Each time, Kreuper had the same response to the community, according to the Times: How do you expect to pay for it? All the while, Kreuper spoke openly about her gambling trips, saying her vice principals wealthy relatives funded the casino excursions to Las Vegas and Lake Tahoe, prosecutors say. Kreuper, who had taken a vow of poverty as a nun, worked as a principal at St. James Catholic School in Torrance for 28 years and allegedly embezzled the funds for 10 years until her retirement in 2018. Kreuper, who pleaded guilty last summer to one count of wire fraud and one count of money laundering, was also ordered by U.S. District Judge Otis D. Wright II to pay more than $825,000 in restitution. The purpose is to protect leaders of the faith, and their religions, from interference by the government. The two would skim money off of the top through separate school bank accounts and then head out to Vegas and put it into the casinos. 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.. The archdiocese of Los Angeles said in statement that the community of faith at St James was shocked and saddened by these actions and expressed gratitude to local and federal law enforcement agencies for their work in the investigation of this matter. The schools denied that Morrissey-Berru and Biel were fired for discriminatory reasons. Associate Editor at BroBible covering all five major sports and every niche sport imaginable, found primarily in the college space. A federal appeals court ruled against the schools, which appealed to the U.S. Supreme Court. Trust shouldnt be broken like that., Others, such as Kevin Kearns, whose son had gone to the school, said the nun had put the students and parents above everything else., The church tells us to forgive those who have trespassed against us, Kearns said. The first teacher, Agnes Morrissey-Berru, claimed her employment contract was not renewed after 16 years service because of illegal age discrimination. His findings unraveled the entire scheme and, eventually, federal charges were levied against Sister Mary Margaret. Mr Kumar said that jealousy played a part, calling the episode "really an abuse of position of trust". 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