Tuesday, May 17, 2016

Feds might seize pensions of crooked Detroit school principals

Abandoned Detroit high school
Most of those charged are former DPS school principals.

But they are still "for the kids."

From the Detroit News:
The U.S. Attorney's Office in Detroit says it may go after the state pensions of 13 former and current Detroit Public School officials after they have been sentenced for their crimes in a $2.7 million bribery scheme.

Gina Balaya, spokeswoman for U.S. Attorney Barbara McQuade, said Tuesday the federal government still does not have legal standing to request the forfeiture of their pensions, as previously reported by The News.

"However, once the defendant has been sentenced and restitution ordered by the district judge, the government can and will take steps to enforce the restitution order, which may include garnishment of their pensions," Balaya said.
Related posts:

(Photos) Detroit's Abandoned Caroline Crosman Alternative High School

(Photos) Detroit's scavenged Harry B. Hutchins School


Holding My Nose said...

So - the Fed's may garnish the pensions that are under funded by the state. In the end the Fed's may have to rescue the pension plan, and then the Fed's will be paying the garnished pension funds to themselves. Out of one pocket into the other pocket. American government at work.

John Ruberry said...

Good point. It reminds me of Detroit blight. FHA loans, some surely defaulted upon, allowed the homes to be purchased. Now fed money is funding their razing.