dailynews

Former Detroit administrator sentenced to 5 years for fraud scheme

Stephen Hill pleaded guilty to taking $150,000 in kickbacks from a vendor
Sept. 20, 2011

From The Detroit Free Press: Ex-Detroit Public Schools executive Stephen Hill has been sentenced to serve five years in prison for looting millions from the school district in a kickback scheme. He also was ordered to pay $3.8 million in restitution to the school district. Hill, the former executive director of the school district's Risk Management Department, pleaded guilty in May to accepting about $150,000 in kickbacks from a vendor that over-billed the school district for inadequate work. Prosecutors say Hill approved inflated phony invoices for a wellness program that was supposed to cost $150,000, but ended up costing the school district $3.3 million.


JANUARY 2011...from The Detroit News: A vendor charged with helping steal more than $3 million from the cash-strapped Detroit school district has pleaded guilty. Marilyn White admitted her wrongdoing and faces up to 10 years in prison. White was a partner in a company called Associates for Learning, which was hired to administer a health awareness program for district employees. The program was supposed to cost $150,000. But the company submitted three inflated and fraudulent invoices, each for about $1 million, and some of the money allegedly was kicked back to a district administrator.

Sign up for American School & University Newsletters