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Mark Hauser, Bribery and Mail Fraud, California 2019

BOSTON – Mark Hauser, a 59-year-old insurance and private equity executive from Los Angeles, California, has agreed to plead guilty in a stunning college admissions cheating scandal. Hauser faces charges for using fraud and bribery to enable his daughter to cheat on the ACT exam.

The defendant will be arraigned on one count of conspiracy to commit mail fraud and honest services mail fraud, according to an Information charging document filed with the Court. The plea hearing is yet to be scheduled.

Under the terms of Hauser’s plea agreement, the government recommends a sentence of six months in prison, one year of supervised release, a fine of $40,000, and restitution. This marks Hauser as the 29th parent and the 42nd person overall to plead guilty in this case.

Hauser was part of a scheme that involved co-conspirator Mark Riddell, who traveled to Houston, Texas, to proctor the exam for Hauser’s daughter. In reality, Riddell corrected answers on the exam after completion. Martin Fox, an intermediary, received $25,000 from William “Rick” Singer to facilitate the cheating. Additional payments were made to Riddell and the test site administrator, Niki Williams.

Singer, Riddell, and Fox have all pleaded guilty and are cooperating with the government’s investigation. Williams has also agreed to plead guilty. All details in court documents are allegations, and remaining defendants are presumed innocent until proven guilty.

The charge of conspiracy to commit mail fraud and honest services mail fraud carries a potential sentence of up to 20 years in prison, three years of supervised release, and a fine of $250,000 or twice the gross gain or loss. Sentences are determined by federal district court judges according to the U.S. Sentencing Guidelines and other statutory factors.

The investigation was led by United States Attorney Andrew E. Lelling and involved collaboration with the Federal Bureau of Investigation, Internal Revenue Service’s Criminal Investigations, and the Department of Education’s Office of Inspector General. Assistant U.S. Attorneys Eric S. Rosen, Justin D. O’Connell, Leslie A. Wright, Kristen A. Kearney, Stephen E. Frank, and Karin M. Bell are prosecuting the case.

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