Former Hempstead School District Official Pleads Guilty to Credit Card Fraud
Defendant Took Cash Kickbacks in Exchange for Allowing a Contractor to Purchase Supplies With the School District Credit’s Card
Timothy Gregg, the former Provisional Supervisor of Facilities for the Hempstead School District, pleaded guilty today at the federal courthouse in Central Islip to access device fraud in connection with his misuse of a school district credit card. The plea was entered before United States District Judge Joanna Seybert. When sentenced, Gregg faces up to 15 years in prison, as well as forfeiture and a fine of up to $250,000.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, William F. Sweeney, Jr., Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), Thomas P. DiNapoli, Comptroller, Office of the New York State Comptroller, and Madeline Singas, District Attorney, Nassau County District Attorney’s Office, announced the guilty plea.
As described in court filings and the plea proceeding, Gregg was the Chief of Facilities at the Hempstead School District from 2016 to 2018. In that capacity, Gregg was authorized to use a school district credit card for purchases for the school district. Instead, Gregg allowed a local contractor to use the credit card for his own personal purchases at Home Depot, in exchange for kickbacks to Gregg of cash and materials exceeding $50,000 in value.
“Today’s guilty plea of former Hempstead School District official Timothy Gregg drives home an important lesson: corrupt officials who abuse their position to enrich themselves will be prosecuted to the fullest extent of the law,” stated United States Attorney Donoghue. Mr. Donoghue expressed his grateful appreciation to the United States Department of Education Office of Inspector General for their assistance during the investigation.
“Mr. Gregg abused the public's trust by using taxpayer dollars to fund his personal home improvement projects. Such corruption must not be tolerated and my office assisted in exposing this abuse,” stated Comptroller DiNapoli. “Thanks to our partnership with U.S. Attorney for the Eastern District of New York Donoghue, Nassau County District Attorney Singas, Assistant Director-in-Charge Sweeney, Jr., of the FBI's New York Field Office and the U.S. Department of Education Office of Inspector General, Mr. Gregg will now have to account for his crimes.”
"The defendant used a school board-issued credit card for home improvement projects and allowed a contractor to freely utilize that credit card for kickbacks,” stated Nassau County District Attorney Singas. “This plea sends a strong message that corrupt local officials will be held accountable for stealing taxpayer money.”
The government’s case is being handled by the Office’s Long Island Criminal Division. Assistant United States Attorneys Charles P. Kelly and Madeline O’Connor and Special Assistant United States Attorney Joseb Gim are in charge of the prosecution.
Uniondale, New York
E.D.N.Y. Docket No. 19-368 (JS)