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Far Rockaway rabbi awaits sentencing for stealing $5M from special needs students

Far Rockaway rabbi awaits sentencing for stealing $5M from special needs students
By Philip Newman

Rabbi Samuel Hiller, former assistant director of the Island Child Development Center in Far Rockaway, has pleaded guilty to stealing $5 million in city and state money intended for special needs students ranging from 3 to 5 years old, the Queens district attorney said.

The Island Development Center, a private non-profit entity that is now defunct, was at 1854 Carnage Ave. in Far Rockaway,

Queens DA Richard Brown said the 59-year-old defendant, of Far Rockaway, appeared in court April 20 before State Supreme Court Justice Joseph Mayas and pleaded guilty to first-degree grand larceny. Hiller will forfeit approximately $1 million in seized assets, sign a confession of judgment for an additional $3 million, pay another $1 million in restitution at the time of sentencing June 15. He must make a full and truthful statement of his financial condition.

Brown said Hiller was expected to be sentenced to one to three years in prison. However, if he fails to pay the full additional $1 million in restitution at sentencing or lies on his financial statement, he will be sentenced to two to six years in prison.

Hiller and three co-defendants — Ira Kurman, 54, of Hewlett, L.I.; Roy Hoffman 53, of Woodmere, L.I.; and Daniel Laniado, 44, of Brooklyn — were indicted in the alleged thefts in 2014.

All were accused of illegally diverting more than $12 million of the $27 million ICDC received in state money to their relatives, their for-profit businesses and for personaL expenses, includIng jewelry, family wedding and home renovations,the DA said.

Kurman and Hoffman have pleaded guilty to the scheme and are awaiting sentencing, while the case against Laniado – a self-described investor in ICDC – is still in court, the DA said.

The thefts were discovered by the New York State Comptroller Thomas DiNapoli’s office. When DiNapoli’s office sent auditors to Kurman’s office, they were told he had left his position along with his books and records. The case was then referred to the Queens DA’s office.