NYPD funeral

Seth Harrison/The Journal News

Prosecutors: Charity treasurer stole $400K from families of dead NYPD officers

March 21, 2019 - 1:16 pm

NEW YORK (1010 WINS) – A Staten Island woman trusted with the money of a police charity was arrested on charges she stole hundreds of thousands of dollars in donations meant for the families of NYPD officers killed in the line of duty.

Federal prosecutors say 68-year-old Lorraine Shanley surrendered to authorities on Thursday morning. She was set to appear in Manhattan federal court on charges of bank fraud and aggravated identity theft.

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Prosecutors allege Shanley stole $410,000 while serving as the volunteer treasurer of the charity between 2010 and 2017. They say her haul was over 20 percent of the $1.9 million in donations during that time period. More than 99 percent of those donations came from NYPD employees.

Shanley was in charge of the charity’s bank account and credit card – but prosecutors allege she “capitalized on tragedy and monetized people’s generosity,” double-endorsing checks payable to the families of fallen NYPD officers and depositing them into her own accounts.

She allegedly used the stolen money to pay for her grandchild’s private school tuition; for legal services and expenses related to criminal charges against her son; for dental and landscaping expenses; and for more than $8,000 in concert tickets, including to a Barbara Streisand show.

According to prosecutors, her scheme was uncovered by a new volunteer who was reviewing the charity’s tax returns and records to modernize the charity’s operations.

Shanley faces more than 30 years in prison if convicted.

It wasn’t immediately clear if she had an attorney who could comment on the charges.

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