Audrey Strauss, the United States Attorney for the Southern District of New York, and William F. Sweeney Jr., Assistant Director-in-Charge of the New York Field Office of the FBI, announced Tuesday the unsealing of a complaint charging Seth Andrew with wire fraud, money laundering, and making false statements to a financial institution.
The theft was in connection with a charter school network that the 42 year-old Andrew founded.
He was arrested Tuesday in New York and was presented before U.S. Magistrate Judge Gabriel W. Gorenstein.
Andrew was charged with one count of wire fraud, which carries a maximum sentence of 20 years in prison, one count of money laundering, which carries a maximum sentence of 20 years in prison, and one count of making a false statement to a bank, which carries a maximum sentence of 30 years in prison.
Manhattan U.S. Attorney Audrey Strauss said: “As alleged, Seth Andrew abused his position as a founder of a charter school network to steal from the very same schools he helped create.
“Andrew is not only alleged to have stolen the schools’ money but also to have used the stolen funds to obtain a savings on a mortgage for a multimillion-dollar Manhattan apartment.
“Thanks to the FBI’s diligent work, Andrew now faces federal charges for his alleged scheme.”
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