A former Catholic nun has agreed to plead guilty to charges of fraud and money laundering after allegedly stealing more than $835,000 in funds at a Torrance elementary school.
Sister Mary Margaret Kreuper, 79, was a principal at St. James Catholic school and admitted to using the stolen money to fund lavish gambling trips and other personal expenses for at least 10 years, up until 2018.
Investigators in the FBI and IRS found the money was taken from student fees, tuition and donations made to the school, as Kreuper was in charge of the school’s savings account.
While managing these accounts, Kreuper admitted she falsified monthly reports and used the money 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.”
Kreuper agreed to plead guilty to the two charges against her and face a possible maximum of 40 years in federal prison.
Her arraignment will take place July 1 at the United States District Court.