Wednesday, December 9, 2009

ST. LOUIS MAN ADMITS EMBEZZLING $510,000 FROM SCHOOL SISTERS OF NOTRE DAME

The former head of information technology for the St. Louis Province of the School Sisters of Notre Dame on November 24, 2009 admitted embezzling $510,000, the U.S. Attorney’s office said.
From 2000 through 2007, Paul Steven Murphy submitted fake invoices from a company that he had created and hid his ownership of the company from other employees, his plea agreement says.
Murphy used the money for jewelry, mortgage payments, restaurants and trips to Hawaii, Las Vegas and India, prosecutors said.
Murphy, 44, pleaded guilty in U.S. District Court in St. Louis to one count of mail fraud and one count of filing false tax returns. Murphy failed to report $112,330 of the embezzled money as income from 2003 to 2007, prosecutors said.
Under federal sentencing guidelines, Murphy faces roughly three to four years in prison when sentenced in February.
When Murphy was indicted in September, province spokeswoman Linda Behrens said that the embezzlement was discovered after Murphy left to start his own business. She also said that Murphy worked for the province, not the associated schools.

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