The federal government filed charges against one of Lakewood’s largest private schools, for allegedly providing false information to obtain funds for preschoolers' lunches.
The gist of the case:
Between 1996 and 2000, Lakewood Cheder School submitted claims for school lunches for more than 1,100 preschool-age children, but served them at 90 private residences, which are ineligible and unapproved sites under the program.
To compound the problem, the school allegedly submitted the false information and statements to the U.S. Department of Agriculture through the state Bureau of Child Nutrition, the United States. As a consequence, this resulted in excessive payments – amounting to $953,421 -- to Lakewood Cheder under the National School Lunch Program.
The case claimed Lakewood violated the False Claims Act, which permits recovery of triple the amount of damages to the government plus penalties. Lakewood Cheder School does not admit liability, but has agreed to pay approximately $1.3 million.
In a news statement, the federal lawyers contained that the act "is an abuse of government funds that takes money away from other children who are truly in need and deserving of these resources"