NEWS RELEASE
OFFICE OF THE UNITED STATES ATTORNEY, SOUTHERN DISTRICT OF ILLINOIS
A. COURTNEY COX, UNITED STATES ATTORNEY
Nine Executive Drive, Fairview Heights, Illinois 62208, Telephone (618) 628-3700
For Immediate Release October 8, 2009
FORMER SIU EDWARDSVILLE EMPLOYEE GUILTY OF MISUSING FEDERAL GRANT FUNDS
A. Courtney Cox, United States Attorney for the Southern District of Illinois, announced today that on October 8, 2009, KOREY L. RUSH, age 40, of Swansea, Illinois pled guilty in U.S. District Court for the Southern District of Illinois, East St. Louis Division, for wire fraud, misapplication of funds from programs receiving federal funds, and obstructing justice by tampering with a witness.
Beginning July 1, 1994, RUSH was employed by SIUE in the federally-funded “Talent Search Program.” The Talent Search program is designed to identify individuals from disadvantaged backgrounds who have the potential to succeed in higher education and assist those individuals in completing high school and enrolling in post-secondary education. The program provides academic, career, and financial counseling to its participants and encourages them to graduate from high school and continue on to the post-secondary institution of their choice. Talent Search also serves high school dropouts by encouraging them to reenter the education system and complete their education.
RUSH was the Assistant Program Director of the “Talent Search Program.” He pled guilty for misapplying, and permitting others to misapply, federal grant funds for his own personal use and the personal use of others. Federal grant funds were used to purchase gift cards, electronics, alcoholic beverages, groceries, and other consumer goods in violation of the rules and regulations limiting the expenditure of federal grant funds. RUSH also pled guilty to encouraging a witness to provide false information to investigators in order to conceal the fact that RUSH authorized $8,000 in payments to the witness for services that were never performed.
The crime of wire fraud carries a maximum possible penalty of 20 years' imprisonment or a $250,000 fine, or both, and not more than 3 years' supervised release. The crime of misapplication of funds from programs receiving federal funds, carries a maximum possible penalty of 10 years' imprisonment or a $250,000 fine, or both, and not more than 3 years' supervised release. The crime of obstructing justice by tampering with a witness carries a maximum possible penalty of 20 years' imprisonment or a $250,000 fine, or both, and not more than 3 years' supervised release. However, the United States Sentencing Guidelines must be applied to the case and considered by the Court during sentencing. RUSH will be sentenced in US District Court on January 22, 2009.
The investigation was conducted by the SIUE Police Department and the US Department of Education. The case is being prosecuted by Assistant United States Attorney Steven D. Weinhoeft.