Source - A former Yale University employee pleaded guilty this week to fraud and tax offenses and admitted to stealing $40 million in computer equipment and other electronics from the school and selling it.
Jamie Petrone, who had been an administrative employee of the Yale School of Medicine’s Department of Emergency Medicine, was arrested in September, according to university officials.
Federal authorities said Petrone began working for Yale in 2008 and most recently served as director of finance and administration for the Department of Emergency Medicine. In that role she had authority to make and authorize purchases up to $10,000 for the department, authorities said.
Officials said Petrone bought or ordered others to buy millions of dollars of electronics and computer equipment such as Apple iPads and MacBooks and cameras using Yale Med funds, splitting up the purchases to fall below the $10,000 threshold. The goods were later shipped to an out-of-state business, which resold the equipment and wired money to Maziv Entertainment LLC, a company of which Petrone is a principal, according to federal officials. She then used the proceeds for personal expenses such as travel, luxury cars and real estate.
Hats off to Ms. Petrone. That's how you do it, girl. Go big or go home. Why steal $10,000 (boring) and get away with it when you can steal $40 MILLION and get caught. Honestly? You're may as well go all out and take them to the cleaners. Maybe not to the degree that you did, but you get what I'm saying. Regardless, the fact that she essentially set up a shell company to launder the money that she was stealing from her employer is wild. She had to do leg work to get that done and for a while it paid off. I mean why wouldn't it? It's not like Yale is hurting for cash...
Still, all good things must come to an end. Here's how she got caught…
In June 2020, the high volume of equipment orders grabbed some attention at Yale. But it was eventually explained away by Petrone, who said that her department was simply updating its computer equipment.
Her scheme continued successfully until August 2021, when Yale officials received an anonymous tip that Petrone was ordering "suspiciously high volumes of computer equipment," court records state. These orders were made more suspicious by the fact that Petrone was putting some of the packages in her own car.
Later that month, Yale auditors dug into Petrone's purchase orders and her emails, among other things — eventually turning over their findings to law enforcement.
I love how she kept going for an entire year after getting questioned by the University. What an idiot. She ended up pleading guilty to wire fraud and filing a false tax return. Here's what her attorney had to say on the situation…
Her attorney, Frank J. Riccio II, said in an email that “Ms. Petrone has accepted responsibility for her actions and is remorseful. She now looks forward towards sentencing and repairing some of the damage that has been caused.”
She also has to turn over more than $500k that was seized from her bank account, liquidate three of her houses, and forfeit six vehicles. She is currently facing up to 23 years in prison. Will she serve any of that time? Probably, but definitely not all of it. It's not like she was stealing from the unfortunate. She stole from a University with BILLIONS of dollars in the bank. The only thing that could put her away for a long time is the fact that she cost the U.S. Treasury more than $6 million in taxes. The government does not mess around with their money. They do with yours, just not theirs. Anyway, that's it for this one. Have a great Friday.