The 80-year-old nun pleaded for mercy after stealing $835,339 from an elementary Catholic school to fund her gambling addiction.. But the court's eventual decision could reach beyond teachers, affecting the lives of millions of other employees who work for religiously affiliated institutions. But as the archdiocese was completing its audit, it noticed something was off with the funding. 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. But when it came to the vow of poverty, the Southern California nun struggled to maintain her promise to the Catholic Church because of a gambling addiction that was out of control for a decade. St.James Catholic School caught embezzling $500K for personal use, including gambling as church declines to press charges. She was also entrusted with overseeing the St. James Covenant Account, a savings account that funded the living expenses of the nuns who worked at the school, the indictment against her states. 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. var znscr = document.getElementsByTagName('script')[0]; Because the funds were to be restored, the archdiocese decided not to press criminal charges. Image Via Scott Varley/Digital First Media/ Torrance Daily Breeze via Getty Images. Julija Garunkstis, a St. James mother who attended the school between 2005 and 2014, said Kreuper had shaken her faith. 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. The first teacher, Agnes Morrissey-Berru, claimed her employment contract was not renewed after 16 years service because of illegal age discrimination. The 80-year-old nun also was ordered to pay a total of. Sister Mary Margaret Kreuper had taken a vow of poverty. She betrayed the trust of people in the community, the parents, students, the archdiocese and the sisters. His . A federal appeals court ruled against the schools, which appealed to the U.S. Supreme Court. Mary Margaret Kreuper (Image source: KTTV-TV video screenshot). 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. (deployads = window.deployads || []).push({}); (function() { All rights reserved. This article was published more than1 year ago. During the time period this was happening, she had no idea this was happening. Earlier in June, the former principal of St. James School was charged with wire fraud and money laundering. Michael Meyers, the pastor at St. James Church. 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. When this was going on, she was not nearly as old. Mr Kumar said that jealousy played a part, calling the episode "really an abuse of position of trust". Instead of sitting in the Supreme Court chamber, though, Biel, like the rest of us, will be at home listening. Officials made the discovery in June after performing a routine audit following Kreupers retirement. 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. Shes very, very remorseful and very ashamed, he said. A spokesperson with St. James did not immediately respond to a request for comment Tuesday. When she announced she was retiring in September 2018, the archdiocese conducted a financial review for the incoming principal. 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. The two holy women were eventually caught out after a recent audit. His findings unraveled the entire scheme and, eventually, federal charges were levied against Sister Mary Margaret. The now-retired nun (I didnt know nuns could retire) admitted to stealing about $835,000 in donations, tuition and fees. The Daily Caller | 1775 Eye Street NW | Suite 1150-290 | Washington, DC 20006. At least, thats where they caught her. There is another, and rather rich, twist to one of the cases before the court Monday. The exception extends to religiously affiliated institutions when they fire employees who serve in a religious capacity akin to that of a minister. Were those functions to be considered ministerial, Fisher says, the results would be dire. "She doesn't have anywhere to go," he said. "The Gambling Nuns" saga is unlikely to come up at the Supreme Court, but it certainly is on Darryl Biel's mind. 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. Copyright 2008-2023 BroBible. 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 . 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. They say she also instructed employees at the school to alter and destroy financial records during a school audit, investigators found. 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. 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. 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. Maybe if she had used her poker face to see more success in Vegas, she wouldnt have been in this position to begin with. They and their Order pray that you have not lost trust or faith in the educators and administrators of the school. The Sisters of St. Joseph of Carondelet confirm that today the judge of the United States District Court for the Central District of California in Los Angeles has sentenced our Sister Mary Margaret Kreuper, CSJ to one year and one day in federal prison followed by two years' supervised release. Kreuper took fellow nuns on some of those trips and spent thousands of the primary school's money. 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. That was the first clue that unraveled a significant scheme. 15 Episodes of Seinfeld That Teach Everything You Need To Know About Life. We do know that they had a pattern of going on trips. The rich uncle was the parents of the St. James students., The school monsignor has since sent out a letter in which the nuns asked that i convey to you the deep remorse they each feel for their actions and ask for your forgiveness and prayers.. Sister Mary Margaret and Sister Lana were in the clear. Kobe Bryant's widow awarded nearly $29m after police shared photos of helicopter crash, Doctors recommend end-of-life decision for Saving Private Ryan actor Tom Sizemore, Ramon Escobar: Serial murderer suspected of killing prison inmate. 66 is still a fairly competent age. var zergnet = document.createElement('script'); The schools, "have never asserted that either of [the teachers] fell short in any religious duty or adherence to the faith," he says. 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.. 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 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. (RELATED: Nuns Allegedly Stole Catholic School Funds For Years: Report). 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. 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. 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.". 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. 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. By Megan Carpentier. The rich uncle was the parents of the St. James students.. The Rev. 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.. It's very disturbing. She wanted more than she had.. "She's 80. Mark Byrne, Kreupers attorney, told The Post his client had accepted the judges one-year prison sentence, even if they were pushing for probation. When staff members finally found the check, they realized that it was not deposited in a St. James account, but a different bank account. The Torrancepair used the money for vacations and gambling at the casino while telling parents that the school was on a tight budget. Sister Mary Margaret Kreuper used tuition fees and donations to a California Catholic school to subsidize her casino expenses. 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 defraudingSt. James Catholic Schoolover a period of 10 years. Despite the ongoing thefts, financial statements revealed the church continuing to operate in the black as the two sisters clandestinely plowed through church funds. "Requiring a church to accept or retain an unwanted minister or punishing a church for failing to do so intrudes upon more than a mere employment decision," Roberts said. He had planned to be in Washington for Monday's argument. Is A Hot Dog A Sandwich? Claiming mental illness at her age is a play for probation or the ability to serve her sentence at home. Prosecutors had recommended a 24-month prison sentence, three years of . 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. 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. In June 2021, Sister Mary Margaret Kreuper admitted to embezzling $835,000 from the Catholic school where she served as principal for 28 years. For decades, lower courts have recognized an exception to the nation's employment laws for ministers. (Photo by PATRICK T. FALLON/AFP via Getty Images). You can be proud of that, he said. She must give up the right to control or benefit from personal property and commits herself to live interdependently within a community. 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. She was the principal and had been colluding with longtime teacher Sister Lana Chang on the operation, per the Daily Breeze. Parents said the two nuns were big on moral. She claimed that she was fired after she told her superior, Sister Mary Margaret Kreuper, that she had been diagnosed with breast cancer. Get the news that matters most delivered directly to your inbox. She is expected to report to prison by June, Byrne said, and will be released in 2023. Kristen Biel would return to teaching elsewhere while fighting her case in court, but in June 2019, she died. A Los Angeles nun recently pleaded guilty to embezzling more than $800,000. This time the question is whether lay teachers at parochial schools are exempt from the nation's fair employment laws. The embezzlement helped to fuel her gambling habit. 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. Officials pointed out that Kreuper had taken a vow of poverty as a nun. 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. Sister Mary Margaret became a nun when she turned 18 in 1960 and took a vow of poverty. But Fisher notes that the schools in these cases do not claim any religious reason for firing the teachers. 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.". ", Church says nuns embezzled from SoCal school to cover Vegas gambling tripswww.youtube.com. Sister Mary Margaret Kreuper had taken a vow of poverty. 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. 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. 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. 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. 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.. However, around the same time, a family at the school asked for an old check they had written to St. James. In her plea agreement, Sister Mary Margaret confirmed that the stolen money was used for credit card charges and large gambling expenses incurred at casinos. the U.S. attorneys office said. She claimed that she was fired after she told her superior, Sister Mary Margaret Kreuper, that she had been diagnosed with breast cancer. "Millions of people across the country who never thought or understood themselves to be leaders of the faith" would now "magically have no employment protections," he says. One article quoted a church accountant as ball-parking the amount at $500,000. On. 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. 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. The pair confessed to using the funds for gambling excursions to Las Vegas and other spending sprees. 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. Kreuper was principal at the school for 28 years. Kreuper was in charge of the schools credit union account, where she was meant to deposit cash and checks from tuition, fees and donations. Rassbach will tell the Supreme Court that not everyone who works at a religious school or institution is exempt from these laws. In a statement to The Washington Post, Kreupers lawyers said she is very remorseful and sorry for any harm she has caused. Investigators determined the money went to accounts the school didnt know about, Kumar said. 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. After taking a vow of poverty, her excuse for lavish gambling expenses is hilarious. I don't drink coffee, I wake up jacked. At the sentencing hearing, those who spoke were split on their feelings toward the nun and what she had done. James Convent instead of St. She also controlled two savings accounts, one for the school and one for the nuns living expenses. Kreuper did not recognize she had a gambling problem until she was accused of embezzling more than $835,000 from the school, Byrne said. An old unused bank account was the giveaway. In the audio, as well as in a previous Web version, of this story, we incorrectly say the fourth-grade teacher in a 2012 case was ordained as a minister. "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. 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 American sister stole money from accounts she controlled as a headteacher and used it to pay off credit card charges and "large gambling expenses incurred at casinos". 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. At the heart of this dispute is the First Amendment ban on government establishment of religion and the separation of church and state. Kreuper became principal at St. James Catholic School in 1990, a position she held for 28 years until her retirement in September 2018. Jon Jones Reacts To Islam Makhachev Declaring Himself The Best Fighter In The World, Shavkat Rakhmonov Reacts To ESPN/UFC Commentator Laura Sanko Thirsting Over Him In Viral Video, Jon Jones First Shirtless Pic At Heavyweight Before UFC 285 Goes Viral, Ja Morants Lawyer, Agent Threaten Legal Recourse For Defamatory Report From The Washington Post, Another Glitch In The Matrix Has Occurred As A Bird Is Filmed Motionless In Mid-Air, Bengals Exec Sends Harsh Wake-Up Call To Teams Sniffing Around Tee Higgins. 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. Kreuper signed the plea agreement, which Snopes has obtained and which can be read in full here, on June 2, 2021. Meyers reported it to the Archdiocese of Los Angeles, who hired their own auditor. Her husband, Darryl Biel, remembers that day vividly. In these records you will find the most recent and the most authoritative articles on the topics, people and events that are shaping the . 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 how do we define who is a minister and who is not? Kreuper, he said, quoting an expert, was addicted to gambling, adding that it "is not an excuse for what she did merely an explanation". 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. I promised her I would see this through," he says. She, too, retired in 2018. As principal of St. James Catholic School, she oversaw the money the school received to pay for tuition and fees as well as charitable donations. Police will still present the case to the Los Angeles County District Attorneys Office, NBC reported. Sister Mary Margaret Kreuper, of Los Angeles, was sentenced Monday to one year and one day for fraud and money laundering charges. , said Kreuper had taken a vow of poverty, her excuse for lavish gambling expenses hilarious! = window.deployads || [ ] ).push ( { } ) ; ( function ( {. Her case in court, but in June after performing a routine audit following Kreupers retirement rassbach tell! School and one for the nuns living expenses and state who spoke were split their... 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