According to a federal indictment released Tuesday, a former employee of the Northern California school system is charged with defrauding his employer of brand-new tablets, laptops, and other electronic equipment before reselling them for personal gain.
A federal grand jury accused Eric Rego, a former supervisor of after-school programs for the Mt. Diablo Unified School District in Contra Costa County, with three counts of mail fraud related to a purported multi-million dollar fraud conspiracy. According to a press release from U.S. Attorney for the Northern District of California Ismail Ramsey, Rego, an El Dorado Hills resident, was taken into custody on Tuesday and was expected to appear in federal district court in Sacramento on Wednesday.
The accusation claims that Rego bought over $3 million worth of iPads, MacBooks, and GoPro cameras with MDUSD money intended for an after-school program. He kept the devices for himself and resold them for a small portion of their original price. Rego fraudulently told a nonprofit organization that the school district had hired to manage its after-school program that the gadgets were necessary for the program’s participants.
The program, which was mostly supported by state funding, was created to help students in high-need communities who were in transitional kindergarten through the 12th grade.
Hundreds of electronic devices were bought, but they were never delivered to schools or utilized for student programs, the school district claimed in a press release. The district said it hired a third-party forensic accountant to perform a financial audit after first filing a report with the Concord Police Department.
According to the complaint, Rego allegedly instructed a nonprofit employee to submit monthly invoices that included the cost of the electronic devices. He then approved the invoices and sent them to the district for payment, claiming falsely that the invoices were for program operating expenses.
“Educating our children is our most pressing priority,” Dr. Adam Clark, the superintendent of MDUSD, stated in a statement. “Anyone who tries to embezzle money meant for our pupils’ education will face consequences. We will keep taking decisive measures to preserve public resources and the integrity of our programs because we are dedicated to complete transparency.”
For each count of mail fraud, Rego faces a maximum penalty of 20 years in prison and a fine of $250,000. However, federal sentencing guidelines would apply to any sentence.
Eliot Pierce is a dedicated writer for ChiefsFocus.com, covering local crime and finance news. With a keen eye for detail and a passion for storytelling, Eliot aims to provide his readers with clear and insightful analysis, helping them navigate the complexities of their financial lives while staying informed about important local events. His commitment to delivering accurate and engaging content makes him a valuable resource for the community.