A grand jury has been empaneled, reports Zero Hedge, to investigate the financial shenanigans of former Burlington College President and wife of Bernie Sanders, Jane Sanders.
Zero Hedge writes, “An FBI probe into a 2010 property deal orchestrated by Jane Sanders…has escalated after a report by VTDIGGER reveals that a grand jury has been empaneled, and at least one witness has given sworn testimony in the case.”
The witness, a former Burlington College board member named Robin Lloyd, reportedly testified for about an hour on October 26, 2017 before a grand jury. The jury was created after a Vermont District Attorney agreed to look into allegations that Jane Sanders bankrupted the College due to loan fraud and other forms of financial mismanagement.
In 2010, then-college President Sanders told Burlington College that a $10 million loan would be needed to purchase 33 acres of “valuable lakefront property” once owned by the Catholic Church, that would be used for the benefit of the college.
In order to get the loan, Sanders knowingly falsified loan applicant forms.
“When Jane Sanders made the offer to the Roman Catholic Diocese, Burlington College was nearly broke,” writes Zero Hedge, “with an annual budget just below $4 million. In order to finance the property, Sanders secured a $6.5 million loan from People’s United Bank in the form of a tax exempt bond purchase, and the Catholic Church agreed to carry a $3.65 million second mortgage on the property. Sanders told both institutions that Burlington college had $5 million in likely donor pledges and $2.4 million in confirmed pledges to be used to pay off the debt.”
Pledged donations did arrive, but they eventually only totaled $279,000.
Realizing the college was in trouble, the board sold off parts of the land, but by 2016 the loan went into default and Burlington was forced to fade into bankruptcy.
In the summer of 2016, the FBI began looking into the fraud. “They showed up at Burlington College to sift through hard drives, audit reports and spreadsheets,” writes Zero Hedge, “They began to interview donors, board members and past president Carol Moore.”
The investigation is on-going and will, most likely, mar any presidential run by Bernie Sanders in 2020.
One can hope anyway.