David T. Shulick, Embezzled School Funds, Philadelphia PA, 2010-2012

David T. Shulick, 46, of Gladwyne, Pennsylvania, has been indicted on charges of embezzling funds from the School District of Philadelphia, as well as filing false tax returns with the Internal Revenue Service.

The indictment, returned today, charges that between 2010 and 2012, Shulick, and co-conspirator Chaka Fattah, Jr., embezzled funds from the School District of Philadelphia by misrepresenting the educational services that would be provided to students pursuant to a contract between the School District and Shulick’s company, Unique Educational Experiences, Inc. (“UEE”).

According to the indictment, Shulick and Fattah Jr. hid the true costs of services provided by UEE by submitting false budgets to the School District of Philadelphia. The indictment alleges that the budgets contained false entries for benefit costs, inflated staff salaries, and salaries for staff positions that were never filled at the school operated by UEE.

The indictment also alleges that Shulick used the embezzled funds to enrich himself, including by paying for contractors who performed work at Shulick’s personal residence and vacation homes. Additionally, Shulick and Fattah Jr. devised a scheme to defraud PNC Bank, which included threatening the bank with the possibility of bankruptcy if Fattah Jr. was unable to resolve his outstanding debts.

Shulick is also charged with filing false federal income tax returns for tax years 2009, 2010, and 2011. According to the indictment, Shulick failed to report all of his taxable income in these years, and improperly claimed itemized deductions.

The charges were announced by United States Attorney Zane David Memeger, FBI Special Agent-in-Charge Michael Harpster, IRS Special Agent-in-Charge Akeia Conner, and Department of Education, Office of Inspector General, Special Agent-in-Charge Geoffrey D. Wood. If convicted of all charges, Shulick faces a substantial term of imprisonment, restitution to the School District of Philadelphia and PNC Bank, and a fine of up to $3,800,000.

The case was investigated by the FBI, IRS Criminal Investigation, and the U.S. Department of Education, with the cooperation of the Philadelphia School District’s Office of Inspector General. It is being prosecuted by Assistant United States Attorney Michael T. Donovan. An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.