Prosecutors Seek Jail Time For E-Rate Fraud Ring: Report

New City NY

23 December, 2020

11:34 AM

Description

ROCKLAND COUNTY, NY — Prosecutors have asked a federal judge to include jail time in the sentences due to be handed down next month on six Ramapo residents who stole $14 million from the federal E-Rate program using yeshivas in Rockland County as their fronts, The Journal News reports. Seven people involved in the multi-year thievery cut a deal in February allowing them to plead guilty each to one count of conspiring against the United States. The Monsey and Spring Valley residents had for years billed the government for telecommunications equipment and services that were not actually provided to Jewish religious schools and used the money for themselves. In one particularly egregious example, the school for which the application was made was a day care center serving 2-4-year-olds. The school received almost $500,000 for technology including video-conferencing, distance learning and high-speed internet. In return for their participation in the scheme, prosecutors allege school officials took freebies including cellphones for staffers' personal use and security and alarm systems (which are not covered under the program). The six for whom prosecutors are seeking jail time are Simon Goldbrenner, Moshe Schwartz, Ben Klein, Sholem Steinberg, Aron Melber, and Peretz Klein, The Journal News reported. They are seeking a sentence of probation for Peretz Klein's wife Susan Klein. ALSO SEE: FBI Arrests 7 Over $14 Million Rockland Yeshiva Tech FraudPlea Deals For Rockland Schemers In $14M Yeshiva E-Rate Fraud