Ex Priest Pleads Guilty in Fraud Case, Associated Press, September 13, 2007

Ex-Priest Pleads Guilty in Fraud Case

Associated Press
September 13, 2007

http://ap.google.com/article/ALeqM5gLArfOBdP1SCe9Zva2tGdXX-ctiA

New Haven, Conn.— A former priest pleaded guilty to stealing hundreds of thousands of dollars from his church by setting up secret bank accounts to pay for a life of luxury, including traveling around the world and buying a condominium.

The Rev. Michael Jude Fay, who resigned last year as pastor of St. John Roman Catholic Church, pleaded guilty Wednesday to interstate transportation of money obtained by fraud. He faces up to 10 years in prison, a $250,000 fine and must pay restitution.

Rev. Michael Jude Fay gets into a car as he left U.S. District Court in New Haven, Conn., Wednesday, Sept. 12, 2007 after pleading guilty to one count of interstate transportation of money obtained by fraud. Fay faces a sentence of 10 years in prison, a fine of $250,000 and must pay restitution to his victims.
Photo by Bob Child

Prosecutors said Fay took between $1 million and $2.5 million over seven years, but the priest has disputed that. He admitted taking between $400,000 and $1 million.

"It's my understanding, your honor, that I used church monies, parish monies for means and for needs other than means and needs of the parish or the parishioners of the parish," Fay, dressed in a dark suit with a bandage on his hand, said in court. "My understanding is that it's by fraud."

Rev. Michael Jude Fay, 56, former pastor of St. John's Roman Catholic Church in Darien, Conn., leaves U.S. District Court in New Haven, Conn., Wednesday, Sept. 12, 2007. Fay pleaded guilty to one count of interstate transportation of money obtained by fraud. When sentenced, Fay faces a term of ten years imprisonment and will be required to pay restitution to his victims.
Photo by Bob Child

Fay shopped at Bergdorf Goodman, Saks Fifth Avenue and Nordstrom, drove a Jaguar, attended a sports club, bought jewelry from Cartier, spent $130,000 for limo rides for himself and his mother, and stayed at hotels such as the Ritz Carlton, Hotel De Paris and the Four Seasons, according to an investigative report released last year by the Bridgeport Diocese. He spent tens of thousands of dollars on home furnishings and meals and more than $20,000 to mark the 25th anniversary of his ordination, the report said.

He also bought a condominium in Florida with another man. Federal investigators said Fay also spent money to buy a condominium in Philadelphia.

Fay and his attorney, Lawrence Hopkins, declined to comment outside court. In the hearing, Fay said he had undergone chemotherapy for prostate cancer but the treatment was not working.

He was released on a $50,000 bond; sentencing is set for Dec. 4.

The diocese thanked federal authorities for investigating the case.

"We pray that today's announcement will help the Saint John Parish community put a sad chapter of its history behind it and finalize the healing process," the diocese said in a statement.

Fay remains unauthorized to function as a priest, church officials said. The parish has received restitution in the form of cash, real estate, and personal property worth about a few hundred thousand dollars, church officials said.