{"id":460263,"date":"2021-04-27T19:50:36","date_gmt":"2021-04-27T23:50:36","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=460263"},"modified":"2021-04-27T19:50:38","modified_gmt":"2021-04-27T23:50:38","slug":"doj-charges-former-obama-adviser-for-stealing-218k-from-a-charter-school-he-founded","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/doj-charges-former-obama-adviser-for-stealing-218k-from-a-charter-school-he-founded\/","title":{"rendered":"DOJ Charges Former Obama Adviser For Stealing $218K From A Charter School He Founded"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"float:left\"><div class=\"counts mashsbcount\">28<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fdoj-charges-former-obama-adviser-for-stealing-218k-from-a-charter-school-he-founded%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=460263&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><div><img decoding=\"async\" src=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-content\/uploads\/2021\/04\/fb_image-1196.jpeg?w=1200&#038;h=800&#038;ixlib=react-9.0.3\" class=\"ff-og-image-inserted\"  style=\"display:none\"><\/div>\n<p>The Department of Justice on Tuesday <a href=\"https:\/\/www.justice.gov\/usao-sdny\/pr\/former-white-house-adviser-arrested-stealing-218000-charter-schools-he-founded\">announced<\/a> charges filed against former Obama White House adviser Seth Andrew for stealing $218,000 from a charter school he founded. According to prosecutors, Andrew used the funds to lower his interest rate on a luxury apartment in Manhattan.<\/p>\n<p>Prosecutors claim Andrew established \u201cSchool Network-1,\u201d a series of New York City-based charter schools, in 2005. He left the post in 2013 to work in the Obama administration\u2019s Department of Education and later as a senior adviser in the Office of Educational Technology at the White House.<\/p>\n<p>Between the spring of 2013 and January 2017, Andrew allegedly received a paycheck from School Network-1. He left his post at the White House in November 2016 and ended his relationship with School Network-1 the following January.<\/p>\n<p>Prosecutors claim Andrew pulled funds out of two escrow accounts designed to be emptied only if School Network-1 dissolved. Despite that, prosecutors say Andrew closed two out of the three escrow accounts \u2013 without any preauthorization \u2013 in March of 2019. When he cashed those escrow accounts, he was provided with two checks, prosecutors say. One was for the amount of $71,881.23, the other for $70,642.98. The checks were made out to two different charter schools.<\/p>\n<p>Andrew allegedly created a fraudulent business account at another bank, where he deposited the checks days apart. According to the Justice Department, Andrew was contemplating taking out a personal mortage at the time he allegedly emptied the escrow accounts. The bank was offering special incentives and interest rates for keeping a particular amount in their accounts. The charter school funds allowed him to unlock those interest rates.<\/p>\n<p>\u201cSpecifically, for every $250,000 on deposit, up to a total of $1 million, [the new bank] would lower that qualifying customer\u2019s mortgage interest rate by 0.125%.\u00a0 Thus, in total, if a qualifying customer maintained $1 million or more of his\/her funds in [the new bank] accounts that customer would receive a 0.5% interest rate deduction on a \u2026 mortgage,\u201d a press release explained. \u201cBut to take advantage of the interest rate deduction promotion, [the new bank] required that the funds a customer deposited be funds owned by the customer or, in some instances, a business the customer owned, controlled or was lawfully associated with. [The new bank] did not permit a customer to utilize money owned by someone else to gain the benefit of the interest rate deduction promotion.\u201d<\/p>\n<p>With the two charter schools\u2019 checks \u2013 totaling $142,524 \u2013 in the bank account, Andrews\u2019 account balance sat at approximately $1,007,716, meaning he qualified for the special interest rates.<\/p>\n<p>The stolen funds, prosecutors claim, made a drastic difference in the interest rate. Without the more than $142,000 in stolen funds, Andrew\u2019s interest rate would have been 0.375% higher. Because of the funds, the former Obama official was able to obtain a $1.77 million loan with an interest rate of 2.5%.<\/p>\n<p>Down the road, in late 2019, prosecutors say Andrew closed the third escrow account and received a check for $75,481.10. He opened another fraudulent account at a third bank. This time he deposited the check for $75,481.10, as well as the funds in the first fraudulent account, totaling $144,473.29. Andrew allegedly took the funds, along with more than $2,000 in interest, and rolled them into a deposit certificate, which was then transferred to a bank account under another organization\u2019s name. The move, prosecutors state, was to \u201cconceal the money\u2019s association with School Network-1.\u201d<\/p>\n<p>\u201cAs alleged, Seth Andrew abused his position as a founder of a charter school network to steal from the very same schools he helped create,\u201d Manhattan U.S. Attorney Audrey Strauss said in a statement. \u201cAndrew is not only alleged to have stolen the schools\u2019 money but also to have used the stolen funds to obtain a savings on a mortgage for a multimillion-dollar Manhattan apartment.\u00a0 Thanks to the FBI\u2019s diligent work, Andrew now faces federal charges for his alleged scheme.\u201d<\/p>\n<p>According to the <a href=\"https:\/\/dailycaller.com\/2021\/04\/27\/seth-andrew-obama-fraud\/\">Daily Caller<\/a>, Andrew\u2019s wife, who co-signed on the loan, is CBS News anchor Lana Zak.<\/p>\n<p>Andrew is facing charges of wire fraud, money laundering, and making false statements to a financial institution. It is unclear if Andrew\u2019s wife will also face charges.<\/p>\n<p><i>The Daily Wire is one of America\u2019s fastest-growing conservative media companies and counter-cultural outlets for news, opinion, and entertainment. Get inside access to The Daily Wire by becoming a\u00a0<\/i><a href=\"https:\/\/www.dailywire.com\/subscribe\"><span class=\"s1\"><i>member<\/i><\/span><\/a><i>.<\/i><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Department of Justice on Tuesday announced charges filed against former Obama White House adviser Seth Andrew for stealing $218,000 from a charter school he founded. According to prosecutors, Andrew &#8230;<\/p>\n","protected":false},"author":1,"featured_media":2276871,"comment_status":"close","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-content\/uploads\/2021\/04\/fb_image-1196.jpeg?w=1200&h=800&ixlib=react-9.0.3","fifu_image_alt":"DOJ Charges Former Obama Adviser For Stealing $218K From A Charter School He Founded","footnotes":""},"categories":[],"tags":[],"class_list":["post-460263","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"fifu_image_url":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-content\/uploads\/2021\/04\/fb_image-1196.jpeg?w=1200&h=800&ixlib=react-9.0.3","fifu_image_alt":"DOJ Charges Former Obama Adviser For Stealing $218K From A Charter School He Founded","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/460263","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=460263"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/460263\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2276871"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=460263"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=460263"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=460263"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}