LancasterOnline.com
Ex-SDL chief charged with fraud, kickbacks
FVI spent eight months investigating school district

By Dave Pidgeon And Paula Holzman
Intelligencer Journal

Published: Sep 17, 2004 9:13 AM EST

LANCASTER COUNTY, PA - Vowing to protect taxpayers from corruption, federal prosecutors Thursday charged former city school Superintendent Ricardo Curry with mail fraud, saying he recruited family and friends to do consulting work for the district and then paid them illegally.

Authorities allege Curry hired his girlfriend who later became his wife, brother-in-law, sister and "best" friend as consultants between 2001 and 2004 at a cost of $59,500 in school district funds. The charging document lists only Curry by name.

The prosecutors also accuse Curry of receiving $3,000 in a kickback deal made with the friend.

The friend and brother-in-law didn't do the work they were hired to do, prosecutors allege.

"The people of Lancaster have a right to expect honest services from public officials," U.S. Attorney Patrick L. Meehan said during a press conference at Lancaster County Courthouse that followed an eight-month FBI investigation.

Curry, 44, who now lives in Lutherville, Md., faces up to 20 years in prison and a $250,000 fine if convicted. Authorities said they want to force him to pay the entire $59,500 in restitution.

No one else was charged in the case.

Meehan made stinging remarks about Curry.

"Unchecked authority can lead to abuse if the individual is not a responsible gatekeeper," Meehan said.

Curry waived his right to appear before a grand jury.

A court date was not set, but likely will take place within the next two weeks in U.S. District Court in Philadelphia, with former Lancaster County Judge Lawrence F. Stengel presiding, Assistant U.S. Attorney John Pease said.

Prosecutors said that from September 2001 to January 2004, Curry, first as assistant superintendent and later as superintendent, failed to notify school board members of possible conflicts of interest when he asked friends and relatives to do consulting work. Such a failure is a violation of Pennsylvania ethics law.

Prior newspaper reports identified Curry's then-wife-to-be, Tamara DeShields, brother-in-law-to-be David DeShields, sister Valeria Booker and friend Harold Benjamin as among the consultants Curry hired. Prosecutors didn't name those allegedly receiving school money, but identified them by their relation to the former superintendent.

The federal court document made public Thursday explains how the consultations between Curry and his friend consisted "merely of casual conversations and discussions at restaurants in Philadelphia or on the weekends." The friend was supposed to perform seminars and training throughout the district.

Rich Manieri, a spokesman for Meehan, said he would not speak specifically about the friend and relatives.

The bottom line, he said, is Curry will be held solely accountable for any wrongdoing.

"A determination in this case was to charge Ric Curry and hold him responsible," Manieri said.

Although the prosecutors spoke about a range of alleged corrupt practices by Curry, they are focusing their case on a $2,400 check. Curry is accused of mailing the check to the friend as payment for the consulting work, which would constitute a federal crime because Curry acquired the money, they contend, by submitting ''false and fraudulent" bills for the consulting work.

Despite the single charge, sentencing guidelines are based on the circumstances under which the crime occurred rather than the amount of charges brought against an individual, Pease said.

Curry has hired Sidney Gold, a Philadelphia-based lawyer. Gold was unavailable for comment Thursday.

The legal trouble for Curry may be just beginning.

The state Auditor General's Office is continuing its investigation, although officials in Harrisburg made no further comment about the matter Thursday.

Former school board member Michael Rowen, in office when Curry was hired, said Curry's behavior was unexpected.

"I feel betrayed by Ric," Rowen said. "All the work we did and to have someone come in and defraud the district is criminal."

Some district parents who attended the press conference said they ultimately blame the corruption on Vicki Phillips, the former superintendent who hired Curry in 2000. Many said she failed to closely scrutinize the district's business practices.

Delia Sanchez, a district parent, feels Curry let her down.

"You know, I really thought he was going to be good for us," she said. "I'm disappointed."

Phillips left SDL to become state secretary of education in 2003, and she currently works as superintendent of schools in Portland, Ore. Attempts to contact her Thursday were unsuccessful.

Pease said the FBI uncovered no evidence of wrongdoing by Phillips.

"Just because someone commits a crime doesn't make their boss guilty," he said. "There has to be an indication that she intended to commit some crime and she knew about and participated in it."

Anna Smith, a district parent, said blame should be shared by Phillips and Lancaster's former school board for failing to use its authority to oversee Curry's work. She particularly lashed out at former board members.

"They questioned nothing," she said. "They didn't, and the blame should be on the past school board for what he did."

Smith, a McCaskey graduate and a frequent audience member at school board meetings, said she will continue pursuing change at the district, even after Curry's case is finished.

"I'll keep advocating for kids," she said. "I love the School District of Lancaster and I love the city."