Former College Of New Rochelle Controller Sentenced For Fraud

NEW ROCHELLE, NY — The former controller for the now-closed College of New Rochelle was sentenced to federal prison Wednesday. Keith Borge, 63, of Valley Cottage, will go to prison for three years for securities fraud and failure to pay payroll taxes.

Borge was also ordered to pay $25,000 in fines and restitution for hiding the college's debts and altering its financial records, according to the Journal News.

Prosecutors had recommended sentencing of eight to 10 years in prison.

Borge admitted in March that he didn't pay more than $20 million in payroll taxes.

From 2011 to 2014, he was the vice president for financial affairs at the the college and was the controller from 2014 to June 2016.

The college withheld both federal income tax and Social Security and Medicare contributions from its employees' pay and was required to pay over the withheld funds within one week from when the employees were paid.

Borge, as controller, was responsible for making those payments.

From the third quarter of 2014 through the second quarter of 2016, he didn't do so.

He also made false entries in the college's books and records to conceal the institution's actual financial condition.

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