According to news reports, a former Woodside Elementary School District employee has been charged with falsifying loan documents and fraud totaling roughly $2 million, and then embezzling more than $100,000 in school funds later, while employed by the Portola Valley School District, that he then spent on remodeling his home.
Now, he could be forced to repay his victims roughly $3.6 million.
Timothy Hanretty previously worked as a chief business official for the Woodside Elementary School District. During his employment there, he allegedly falsified loan documents by applying for $2 million more than the school district had approved.
Though the money was spent on school facilities, the bloated loan drove up the school district's debt. When an investigation was launched into why the school district's debt was much higher than it should have been, Hanretty's fraud was discovered.
By that time, however, Hanretty had left the Woodside district. In 2010, he accepted a job as the superintendent of the Portola Valley School District.
It was there that Hanretty's crimes escalated even further, when he reportedly embezzled $100,926 from the district by submitting invoices that turned out to be for improvements made to his Woodside home.
In August, Hanretty pleaded no contest to the charges in a plea deal that will reportedly net him no more than four years in prison.
However, the Woodside School District is suing Hanretty for approximately $3.6 million in restitution for his crimes, the Marin Independent Journal reports - roughly $1.9 million for the unauthorized loan, more than $1.5 million in interest charged on that loan, and around $100,000 spent on legal fees and the hiring of a forensic accountant to track down Hanretty's financial misconduct.
The Journal also reports that Hanretty has already repaid the Portola Valley School District more than $120,000 for the amount he embezzled, but that he plans to contest the Woodside district's claim because he did not take that money for personal use, and the district benefitted from the new and upgraded facilities it paid for.
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