Wikimedia CommonsKreuper used the stolen funds for personal expenses like paying off credit cards but primarily to finance her gambling habit at casinos across Nevada. They were able to get away with it because the school was doing so well, financially, that nobody ever missed the money. Last updated on: February 7, 2022, 08:42h. Kreuper, 79, could get sentenced to up to 40 years behind bars. Eventually, a forensic accountant discovered that there was a half-million dollars missing from the schools accounts. Besides, both the nuns in question were in positions of trust. Kreuper and Chang are both members of the Sisters of St. Joseph of Carondelet. LOS ANGELES, CA The retired principal of a Catholic elementary school in Torrance, who as a nun took a vow of poverty, was sentenced Monday to 12 months and a day behind bars for embezzling more than $835,000 in school funds to support a gambling habit and other personal expenses. Ad Choices, That Lying, Gambling, Embezzling Nun Pleads Guilty. 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. Powered by. Sister Mary Kreuper served as the principal at St. James Catholic School in Torrance, California, for 28 years. As a Catholic nun, Sister Mary Margaret Kreuper had taken a vow of poverty. 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. Sister Mary Margaret Kreuper, 79, of Los Angeles, will plead guilty to fraud and money laundering and faces up to 40 years in prison, the U.S. Department of Justice announced. Crime & Safety Gambling Nun's Bad 'Habit' Catches Up To Her Catholic school principal Sister Mary Margaret Kreuper, 80, was sentenced to prison for embezzling from the school to feed a gambling habit. Some of them said they couldnt understand why the school had been operating on shoestring budget while Sister Mary Margaret and Sister Lana had been going on gambling sprees. Her religious order, Sisters of St. Joseph of Carondelet, which according to court documents was paying for her living expenses, said in a statement on Wednesday that it would not comment until the legal process was completed. Luis Sinco/Los Angeles Times/Getty ImagesSister Mary Kreuper served as the principal at St. James Catholic School in Torrance, California, for 28 years. Performance & security by Cloudflare. Los Angeles Archdiocese of Los Angeles Gambling nuns nuns Las Vegas Saint James Catholic School . She said that she diverted school funds into the St. James convent account and then into its federal credit union savings account. In 1940, she was 2 years old and lived in Belmont, Ohio, with her father, mother, 2 brothers, and sister. Gambling Nun Who Embezzled $800,000+ of School Funds Gets Off Lightly With 366-Day Jail Sentence Judge Wright II sentenced Kreuper to one year and a day in a federal prison She must also pay $825,338.57 in restitution for the money she embezzled Kreuper admitted using the school funds to pay for "large gambling expenses" document.getElementById( "ak_js_1" ).setAttribute( "value", ( new Date() ).getTime() ); Oh boy, the flying nun really did it this time. 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", The judge advised Kreuper that he expected her to make a statement at sentencing, adding, "I don't have to worry about (lies) coming from you.". Thanks for contacting us. Until this last spring, Kreuper was the principal of St. James Catholic School in Torrance and Chang was. Parents said the two nuns were big on moral fortitude and that they were very hard on kids who slipped up and broke the rules. It was then that Kreuper started to get nervous and told two employees to destroy documents and directed them to not mention to the auditors that certain documents were missing. Instead, the school's principal, Sister Mary Margaret Kreuper, 79, was stealing the money and using it to bankroll her gambling habit, federal prosecutors said, violating her vow of. This story has been updated to correct the spelling of Torrance and Sister Lana Chang. It is believed the nuns used that money to spend on travel and gambling at casinos over the years. They are also removed from all public ministry., Sisters Mary Margaret Krueper & Lana Chang: 5 Fast Facts, Copyright 2023 Heavy, Inc. All rights reserved. Jack Alexander of Redondo Beach said that the pair would often go traveling and gambling, claiming they had been given the money by a rich relative. Scott Varley/Torrance Daily Breeze, via Getty Images. Sister Mary Margaret Kreuper, who worked as the school principal for 28 years, and Sister Lana Chang, confessed to embezzling at least $500,000 from the Catholic school so that they could gamble . Your email address will not be published. Diverting embezzled funds into secret accounts, Kreuper used the money "to pay for expenses that the order would not have approved, much less paid for," including large gambling expenses and trips to Las Vegas, Lake Tahoe and Temecula, according to her plea agreement. Sign up for PEOPLE's free True Crime newsletter for breaking crime news, ongoing trial coverage and details of intriguing unsolved cases. In a statement on Tuesday about Sister Mary Margarets guilty plea, the archdiocese said the revelations had shocked and saddened the community. By clicking Accept All Cookies, you agree to the storing of cookies on your device to enhance site navigation, analyze site usage, and assist in our marketing efforts. The two embezzling sisters are Sister Mary Margaret Kreuper and Sister Lana Chang. Officials in the archdiocese of Los Angeles told parents that they had proof that a Sister Mary Margaret Kreuper and Sister Lana Chang had stolen hundreds of thousands of dollars from the St James Catholic School in Torrance. Pictured, Sister Mary Margaret Kreuper and Sister Lana Chang of St.James Catholic School, Torrance, California. A routine audit upon her retirement raised "several red . Two nuns in California allegedly stole more than $500,000 from the school they had been at for years, which they spent in casinos and on vacations. The rich uncle was the parents of the St. James students," he said. But officials from the Archdiocese of Los Angeles told parents and alumni of the school that auditors have not been able to trace all of the money trail. This 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 the DOJ. Click to reveal A great part of her early education came from her mother, who consulted the Spanish humanist Juan Luis Vives for advice and commissioned him to write De Institutione Feminae Christianae, a treatise on the . All rights reserved. We've received your submission. Teacher quits union as pro-Palestinian stance left her fee King Charles to evict Harry and Meghan from Frogmore Cottage and give to Andrew, 'Elvis' star Austin Butler was rushed to ER after 'body just started shutting down', Drug-resistant stomach bug spreading across US: 'Serious public health alert', Meghan Markle, Prince Harry have first night out since bombshell Spare released, Jordyn Woods supports Selena Gomez amid singers feud with Kylie Jenner, Hailey Bieber, RHONJ recap: Jennifer Aydin mocks Rachel Fudas terrible nose job, Heroic bus driver saves student from passing car, Savannah Guthrie Rushed Out Of Today After Testing Positive For COVID-19 During Live Broadcast, Meghan Markle, Prince Harry have first night out since bombshell 'Spare' released. Kumar added Kreupers scheme was revealed after the school performed an informal audit shortly after the nun announced she would be retiring as principal in 2018. Kreuper, who apologized to the community during Mondays sentencing, also made a Hail Mary plea to the judge for leniency. Seemingly in the clear after that, she used the embezzled cash for expenses that the order would not have approved, much less paid for from Nevada casinos to paying off credit cards. Kreuper controlled accounts at a credit union, including a savings account for the school and one established to pay the living expenses of nuns -- who had taken a vow of poverty -- employed by the school, prosecutors said. Sister Mary Margaret Kreuper admits to stealing over $835k from a Catholic School. Sister Mary Margaret retired in June after 28 years as principal of the K-8 school, which serves students from Torrance and Redondo Beach. Kreuper, who was the principal of the school for 28 years, agreed to plead guilty as part of a deal with prosecutors, the release said. Head Nun Caught Stealing Over $800,000 From Catholic Elementary School Where She Worked. He holds dual bachelor's degrees from Pace University and a master's degree from New York University. The embezzlement helped to fuel her gambling habit. Then, read about the Missouri nun who smuggled two pounds of cocaine and blamed her internet boyfriend for doing so. Sister Mary Margaret Kreuper and Sister Lana Chang were seen as two of the strictest nuns at St James Catholic School in Torrance, California. Sisters Mary Margaret Krueper, left, and Lana Chang. A subsequent financial review found that a substantial amount of school funds had been misappropriated for personal use by Sister Mary Margaret, with the Torrance Police Department expanding its investigation into the matter in December 2018. The diocese had initially called the police, but after the nuns confessed they said they wouldnt press charges against the nuns. 3 Inmates Taken To Hospitals After Medical Emergency At LA County Jail, SoCal Storm Timeline: When To Expect More Rain, Snow And A Reprieve, Downed Trees & Mud Flows + Check Out Supremes Floating Skate Bowl, 'Cookin with GAS' 30th Anniversary Improv 2023: Groundlings, Los Angeles/WeHo, AlienCon 2023: Convention Center, Pasadena, The Best You Expo is coming to the Los Angeles Convention Center, 3 Days to Party Celebrating Women Everyday in LA, LA Cat Extravaganza & Adoption Event 2023: Fairplex, Pomona, 5th Annual The Best You Awards Ceremony and Charity Gala, Personal Assistant for Older New Yorkers in Manhattan NYC, Modeling Agency For Prostitution Scheme And Sexual Exploitation: AG, Shaken My Turkey's Death Toll, County Looks To Require Quake Retrofits, CA Scandal-Makers & Movie-Makers Shape 2022's Most Popular Baby Names, Michelin Adds 30 SoCal Restaurants To Prestigious Guide, Only In California: Car Chases Even Hollywood Couldn't Dream Up. "At our school, we have initiated additional procedures and oversight policies for financial management and reporting responsibilities," Meyers wrote. By Colin Groundwater June 9, 2021 Two summers ago, Sean Flynn reported a wild story for GQ about two very. The 80-year old nun was ordered to pay $825,338.57 she embezzled while principal at St.. We continue to offer our prayers for all impacted by this matter.. Kreuper even took fellow nuns on some of those excursions and spent thousands of the elementary schools money, Kumar said. They did not necessarily overlook, but asked to judge her more by her entire life rather than the theft from by St. James (Catholic School). In addition to stealing $835,339, she falsified monthly and annual reports, and instructed employees to alter and destroy financial records during a school audit. Mary Margaret Kreuper, principal of St. James Catholic School in Torrance, Calif., until 2018, was charged with stealing more than $835,000 in school funds to pay for personal expenses, including gambling trips. But this week, prosecutors said Sister Mary Margaret, 79, had agreed to plead guilty to stealing more than $835,000 from a Catholic elementary school to support a gambling habit and to pay for other personal expenses. The action you just performed triggered the security solution. A Los Angeles nun jailed for stealing more than $800,000 to fund a gambling habit has admitted "I have sinned". Two summers ago, Sean Flynn reported a wild story for GQ about two very badly behaved nuns: Sister Mary Margaret Kreuper, and Sister Lana Chang, a principal and a teacher at St. James Catholic School in Torrance, California. Two longtime nuns at St. James Catholic School in Torrance allegedly embezzled as much as $500,000 in tuition, fees and donations. Officials also say that as they audit started, Sister Mary Margaret started to seem very anxious they say that she even asked people to falsify information for her. 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 rumbled in June 2018, just as she was about to retire after 28 years as principal, when an internal audit blew the lid off the racket. Photo by PATRICK T. FALLON/AFP via Getty Images, 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. While other checks were being cashed properly and accounted for, the crooked nun deposited other checks in the secret bank accounts before they were even accounted for by staff. Kreuper acknowledged that for a period of 10 years ending in September 2018, she embezzled $835,339 from St. James Catholic School. Sister Mary Margarets lawyers, Mark A. Byrne and Daniel V. Nixon, said she was very remorseful., 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, they said in a statement. The nuns embezzlement first came to light when Sister Mary Margaret was about to retire, according to church officials. She also managed several of the schools bank accounts, including one that had been set up to pay the living expenses of the other nuns who worked there. Archdiocese of Los Angeles officials said in a statement that school officials and others cooperated with the investigation. Their crimes came to light in 2018, and earlier this week, Kreuper pleaded guilty to two counts of wire fraud and money laundering. "I have sinned, I have broken the law, and I have no excuses," Kreuper told U.S. District Judge Otis D. Wright II, Los Angeles Times reported. 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. One man, whose children attend St James, grumbled that the nuns had been using the school as if it was their own private ATM. Sister Mary Margaret Kreuper, of Los Angeles, was sentenced Monday to one year and one day for fraud and money laundering charges. The two Sisters are removed from their residence and placed in a religious house under the supervision of community leadership. Kreuper, who used funds to pay for trips to Las Vegas, Lake Tahoe and Temecula, says she will use the rest of her days trying to make amends. Sisters of St. Joseph of CarondeletSister Lana Chang worked alongside Sister Kreuper for 20 years, at least 10 of which they spent embezzling the schools money together. To revisit this article, select My Account, thenView saved stories. For a period of 10 years starting in 2008, Kreuper embezzled money from St. James Catholic School where she was the school's principal, a position she held for 28 years. This website is using a security service to protect itself from online attacks. The archdiocese of Los Angeles told parents about the suspected embezzlement in a meeting on Monday evening. Police have been informed but the Archdiocese does not intend to pursue criminal proceedings against the sisters. It remains unclear which years specifically she embezzled funds from the school during her 28-year tenure there, though she did admit to doing so for over a decade. It is with great sadness that we announce the passing of our father, Richard D. Stabile. Sister Lana taught there for 20 years. Playing at online casino for real money can be a thrilling experience! But all the while, they were using school funds to pay for their jaunts. According to documents accompanying the plea agreement, Sister Mary Margaret diverted school funds into the schools convent account and its federal credit union savings account, and then used the money for expenses that the order would not have approved, much less paid for, including large gambling expenses at casinos in Nevada and credit card charges. Thanks for contacting us. The statement also condemned the embezzlement, saying, we will not defend the actions of our Sisters. The lawyers added that she has been suffering from a mental illness that clouded her judgment and is very remorseful.. We do know they had a pattern of going to casinos, and the reality is, they used the account as their personal account, the attorney told the crowd at the meeting. Kreuper claimed the school was always strapped for cash, then funneled donations into shell accounts that she and Chang would use to fund trips to Las Vegas and Lake Tahoe. Two nuns have admitted to embezzling money from the Catholic school where they worked and using the cash to fund gambling sprees. . Your IP: She confessed after the diocese hired an ex-FBI agent to grill staff members at the school. Officials said that they carried out an internal audit as a matter of routine, since the school was about to get new leadership. But not all the parishioners were as understanding. So there were a considerable number of parents who were very upset and obviously feeling quite betrayed. Sister Mary Margaret Kreuper and Sister Lana Chang of St.James Catholic School caught embezzling $500K for personal use, including gambling as church declines to press charges. Sister Mary Margaret Kreuper and Sister Lana Chang were seen as two of the strictest nuns at St James Catholic School in Torrance, California. A disgraced nun who stole hundreds of thousands of dollars from a Los Angeles Catholic elementary school and went on Vegas gambling sprees will be reciting her penance from inside a federal prison cell. There were parents who spoke today about how their kids are no longer affiliated with the church.. Shawn graduated from Batesville High School in 1991 before attending Ball State University and receiving his BS from . On December 10, the order issued a statement about the charges of financial misdoings. Kreupers crimes occurred during her role as the schools principal, a position from which she retired in 2018. But according to the US Attorneys Office Central District of California, Kreuper diverted funds to pay for expenses that the order would not have approved, much less paid for, including large gambling expenses incurred at casinos and certain credit card charges.. Most of the money came from school fundraisers; some came from a tuition hike. Monsignor Micheal Meyers, the pastor at St. James Catholic Church sent a letter to pupils' parents stating that Sisters of St. Joseph of Carondelet, the nuns' order, is cooperating with the parish and the Archdiocese to find out how much money was taken. Kreuper claimed she had a rich uncle who paid for the trips. Sister Mary Margaret Kreuper was 47 years old and had been a Catholic educator for more than 19 years when she came to St. James School in 1988. Use of this site constitutes acceptance of our User Agreement and Privacy Policy and Cookie Statement and Your California Privacy Rights. The World's Online Gaming Authority Since 1995, Gambling Nuns Embezzled $500,000 from California School, Blew it On Casino Junkets, Gambling Nun Gets One Year in Prison for Stealing $835k from L.A. The attorney said the nuns had spent the money on gambling trips and on vacations. Thats why it came as a shock to many when the two sisters were accused of embezzling hundreds of thousands of dollars from the schools funds and using it to gamble in Las Vegas. To request removal of your name from an arrest report, submit these required items to arrestreports@patch.com. CA: 2 Nuns Accused of Stealing Substantial Amount of Money From South Bay Catholic School. She served as the schools principal for 29 years. Kreuper's attorney Mark Byrne explained that his client, who retired in 2018, has been under strict supervision at her convent. But many parents were furious when they discovered the diocese had decided not to press charges against Kreuper because she had shown remorse.. 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