To that multi-million dollar scam and prosecutors say more than 12 million dollars was diverted, some for personal home renovations. And the big losers? Special needs children. The money was supposed to help, and taxpayers.
Investigators at Kew Gardens Queens
This massive 12 million dollars alleged fraud, investigators say, first came to light when the state controller’s office told a Queens agency they were coming for a routine audit. Well, when investigators got there, they say they were told the executive director had left and he allegedly had taken the books and the records with him.
The Crime at Island Child Development Center
Rabbis accused of stealing over 12 million dollars these four men are facing a variety of charges including grand larceny identity theft and falsifying business records while holding various positions here at the Island Child Development Center one of the largest providers of special education services for preschoolers with disabilities/
Richard Brown Queens Attorney: It’s alleged that they got caught stealing that 12 million dollars and used it for personal use and to their families.
The Criminals that were Stealing the 12 Million Dollars
52-year-old Ira Kerman was the former executive director of the private not-for-profit company. 56-year-old Rabbi Samuel Hiller is the assistant director. 50-year-old Roy Hoffman served as an independent auditor. 41-year-old Daniel Laniato, investigators say, was a self-described investor who was accused of cashing more than $1 million in agency checks.
Rabbi Hiller, seen here hiding his face after he left court after posting $500,000 bail, is accused by prosecutors of stealing $8 million to several religious schools and camps not affiliated with the Island Child Development Center and were not eligible for education funds.
Marc Agnifilio Defense Attorney: What they’re saying is Rabbi Hiller is the top person in an organization where there’s a substantial amount of missing funds, and it’s the type of situation that requires us getting to the bottom of the situation.
What The 4 Jewish Men Used the Money for
State investigators also alleged that Roy Hoffman’s home here in Woodmere was redesigned with $300,000 that was illegally diverted. Ira Kerman, seen here in the gray jacket and who was the executive director of Island Child Development Center, is accused by prosecutors of allegedly making $143,000 in loans to members of the community and allegedly received goods and services related to a daughter’s wedding and his son’s bar mitzvah.
Richard Brown Queens Attorney: This money was earmarked for preschoolers 3 to 5 years of age, special education kids with disabilities.
Disgraced Rabbis Leaving Court
Rabbi Hiller, who broke down in court, again hit his face as he hurried from the courthouse, not answering questions about the serious stealing charges against him.
Marc Agnifilio Defense Attorney: I think Rabbi Hiller is very uncomfortable being here and just broke down.
The district attorney’s office has also initiated a civil action against the four men in hopes of recouping as much of this money as possible.
CBS News – Rabbi, 3 Others Accused Of Stealing $12.4 Million In NYC, State Education Funds
