Couple Admits Looting $1.4-Million From Ky. Charity

The former chairman of a Louisville, Ky., education foundation and his wife pleaded guilty Thursday to stealing $1.4-million from the charity, virtually wiping out its assets, The Courier-Journal reports.

Charles Muir, 61, and Diana Muir, 60, admitted to money laundering and fraud-related charges. Under a plea bargain, they agreed to prison terms of 46 and six months, respectively, and to pay $1.14-million in restitution to the Woodcock Foundation, which gave college scholarships to needy students. The will remain free until sentencing, which is set for Oct. 23.

The Muirs were charged in December 2012 with draining the 142-year-old, Episcopal Church-affiliated foundation’s accounts, largely by transferring funds to a business owned by Ms. Muir in the guise of loans. The charity, which once had assets of $1.5 million and in recent years paid for $500,000 in scholarships annually, listed assets of $5,696 on its most recent tax return.