Saturday, May 7, 2011

Gilbert Sapperstein - Mark Sapperstein

"Businessman Pays Schools $3.5M In Restitution

72-Year-Old To Serve Jail Time, Pay More Fines, Make Donation

BALTIMORE -- A 72-year-old Baltimore businessman began serving his prison term Wednesday -- but not before paying the city's school system $3.5 million.

WBAL-TV 11 News I-Team lead investigative reporter Jayne Miller reported Gilbert Sapperstein was sentenced earlier this year to an 18-month prison term for conspiracy, bribery and theft. Sapperstein's check to the school system was part of his sentence to pay restitution.

"It's the equivalent of 70 teachers and 3.5 million lunches. It's going to help tremendously in a variety of areas," district CEO Bonnie Copeland said.

Sapperstein admitted in May to cutting a deal with a former school official to steal from the school system over 12 years.

Miller reported Sapperstein owned a boiler company and the former official, Rajiv Dixit, had authority to approve certain work orders.
Prosecutors said the pair's scheme involved phony work orders, inflated invoices and kickbacks intended to line their own pockets at the school system's expense.

"This type of money is a slush fund for the greedy, and that's what Mr. Sapperstein was. He was a greedy person who wanted more and more money from the kids in the schools," state prosecutor Robert Rohrbaugh said.

Sapperstein offered no comment outside the courthouse Wednesday. Inside, as his sentence was handed down, he apologized to the School Board, called the case an embarrassment to his family and said he'd made a mistake.

Miller said that drew a quick response from the judge who reminded Sapperstein that what he really did was commit a crime.

Sapperstein must also make a $250,000 donation to a scholarship fund and pay a $120,000 fine. He also turned over to the city Wednesday a check for $130,000, which constitutes the restitution in a separate theft scheme involving the city's Department of Public Works.

Source and Video..
http://www.wbaltv.com/news/4892499/detail.html#ixzz1LicarAIE