A Hudson County official who pleaded guilty to embezzling over $400,000 was sentenced to two years in prison, officials with the U.S. Attorney’s Office said Tuesday.
Pantaleo “Leo” Pellegrini previously pleaded guilty to embezzlement and filing false tax returns.
Pellegrini is the former director of Health and Human Services in Hoboken where he oversaw parks and recreation programs in the city, officials said.
Authorities said Pellegrini diverted about $223,500 in payments to the city to bank accounts controlled by him.
Pellegrini was also accused of submitting over $234,000 in personal expenses which the city unknowingly paid, authorities said.
Pellegrini was responsible for overseeing public recreational facilities, including soccer fields that could be reserved for fees paid to the city of Hoboken, officials said.
The fees supported a non-profit recreational soccer league through the Hoboken Department of Parks, Recreation and Public Works which was available to children in Hoboken, officials said.
At the same time, an adult soccer league was funded by participant fees, officials said.
Pellegrini diverted the adult soccer league fees to a business account he was a signatory to and which was registered to a soccer-related entity linked to him, officials said.
During the same time, Pellegrini was the owner and president of a private travel soccer club where he submitted invoices to the city of Hoboken claiming the team eligible for reimbursements, officials said.
At Pellegrini’s direction, Hoboken unknowingly paid tens of thousands of dollars to Pellegrini’s private soccer club’s vendors for expenses, and tens of thousands of dollars directly to Pellegrini through the soccer club, officials said.
Authorities said Pellegrini spent the money on meals, entertainment and gambling.
Additionally, Pellegrini did not disclose the payments on tax returns as income and underreported his income to the IRS, officials said.
Pellegrini resigned from his position with the city of Hoboken in May 2023 where he had worked for 14 years.
Pellegrini was sentenced to two years in prison and must pay $439,972 in restitution. He was also ordered to pay $119,464 in restitution to the Internal Revenue Service.
“This sentence sends a clear and uncompromising message: no government employee is above the law," Hoboken mayor Ravi S. Bhalla said in a statement Tuesday.
An attorney for Pellegrini did not immediately return a request for comment.
Stories by Matthew Enuco
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