Cindy Tappe, 57, allegedly diverted $3.5 million intended for women- and minority-owned businesses and for other programs into bank accounts held by two shell companies she created and then used the money to pay personal and luxury expenses, including renovations to her Westport, Connecticut, home, according to the Manhattan District Attorney's Office.
"Our multilingual learners and students with disabilities deserve top-notch services, and these funds should have gone directly to their schools," said Manhattan District Attorney Alvin Bragg."Instead, we allege, the funds meant for student programs were used purely for personal gain by an NYU Director of Finance, who renovated a home in Connecticut and bought a swimming pool with the money.
Instead, according to the indictment, Tappe arranged for three certified minority- and women-owned business subcontractors to receive the overwhelming majority of the grants. NYU paid the three companies approximately $3.527 million to provide services related to the grants. To justify the payments, the companies submitted fictitious invoices drafted by Tappe and pasted on their letterhead, the indictment said.
A portion of the funds was then used to pay legitimate grant-related expenses, and to reimburse NYU employees for expenses incurred or services rendered without any NYU oversight, the indictment said.
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