$132,000 embezzlement scam alleged in Jefferson Parish school system in Louisiana

FROM THE TIMES-PICAYUNE

Fraud charges were filed against Kimberly M. Williams, 34, of New Orleans, Geselle Savoy, 52, of Alamogordo, N.M., Amanda Jackson, 55, of Harvey and Danay Jackson, 33, of Harvey, the U.S. attorney's office said. Tracy Walker, 42, of Westwego was charged with misprision of a felony, or failing to report a crime.

Prosecutors said all five were school system employees but not certified teachers or qualified to perform tutoring, testing or remediation. But Williams and Savoy, testing technicians in the school system's central office, are accused of submitting fraudulent payroll documents for all five defendants, generating about $132,152 in supplemental pay and stipends. (See PDF of the charges.)
The money came from the school system's general fund and special funds for the Louisiana Education Assessment Program test, Graduate Exit Examination and Education Excellence.
School officials said they were pleased to learn of the charges.
"When we uncovered alleged illegal activity by five of our employees, we immediately reported our findings to the authorities and are fully cooperating with their investigation," school system spokeswoman Beth Branley said. "We will continue monitor programs for any type of illegal activity that adversely impacts funding designated for our children."
Amanda and Danay Jackson are related, but it was not immediately clear how.
All five defendants have been fired from their jobs. None could be reached for comment Tuesday.
The charges were filed not in an indictment by a grand jury but by prosecutors in a bill of information, sometimes an indication that defendants have already reached plea agreements.
The bill says the fraud took place from Feb. 11, 2007, through Sept. 2, 2009, beginning when Williams added unauthorized overtime hours for herself under the school system's interval assessment program. Eventually, prosecutors said, Savoy and the two Jacksons asked to be included.
Amanda Jackson worked as a processing clerk in the accounts receivable office, Danay Jackson as an office clerk at Estelle Elementary School in Marrero.
Walker allegedly became involved in July 2008, when Amanda Jackson told Savoy to provide unauthorized stipends and overtime payments to Walker, using her employee number. Walker was a child nutrition worker at Vic Pitre Elementary in Westwego.
In one instance, Amanda Jackson allegedly instructed Walker to meet her in the parking lot of the Jefferson Financial Credit Union and hand over $5,940 of the $7,920 that Walker had illegally received in summer remediation payments. At a second, similar meeting, Jackson instructed Walker to give her $2,925 of the $3,900 that Walker had illegally received for student testing pay.
But at the second meeting, Walker reportedly told Jackson that she no longer wanted to be part of the scheme.
Williams, Savoy and both Jacksons each face a maximum penalty of five years in prison and a $250,000 fine if convicted, although maximum sentences are rare in federal court. Walker faces a maximum of three years' imprisonment and a $250,000 fine.
The case is being investigated by U.S. Secret Service, the federal Department of Education, the Louisiana Electronic and Financial Crimes Task Force and the Jefferson Parish Sheriffs' Office. The prosecutor is Assistant U. S. Attorney Julia Evans.