Deerfield Man Stole $831K From Disabled Kids' Organization: Feds

DEERFIELD, IL — A 45-year-old Deerfield man that once served as the executive director of a North Shore nonprofit disabled children has been charged with stealing more than $800,000 from the organization and using it for personal expenses and credit card payments, federal prosecutors said Thursday.

Stuart Nitzkin was charged in federal court with one count of wire fraud. According to charging documents, Nitzkin defrauded “Organization A,” which prosecutors described as being one that is “committed to empowering physically disabled children to participate in physical and psychological rehabilitation through sports," federal prosecutors alleged.

Although the organization was not named in the charging documents against Nitzkin, but the organization he used to lead, American Friends Of Israel Sports Center for the Disabled, previously sued him over fraud allegations in Cook County in a since-resolved civil case, court records show.

According to the organization's website, it is "one of the world pioneers in the field of sport rehabilitation" and was founded in 1960. The company's U.S. headquarters are located in Northfield and the organization characterizes itself as a "home away from home to around 2,500 Israelis of all ages."

The four-page charging document states that between 2011 and 2016, Nitzkin devised and participated in a scheme to defraud and obtain money from the organization. Nitzkin, whose job with the nonprofit included organizing and managing the group’s fundraisers and soliciting money from donors, used about $831,000 to pay personal expenses, court documents show.

Prosecutors also maintain that Nitzkin sought reimbursement for expenses that he said were connected to his work, but that were instead for costs related to personal matters.

The charging document alleges that Nitzkin started his own business to provide goods and services to a camp that had no connection to American Friends of Israel Sports Center for the Disabled and charged the organization. The U.S. Attorney also believes that Nitzkin withdrew cash and issued checks from company funds and used an organization credit card to pay expenses for his and his family’s personal benefit, the charging document states.

In addition, prosecutors said that Nitzkin had the organization make payments to a personal friend, identified in court documents as “Vendor A” to provide catering services to the organization for a fundraising event. Authorities said that Nitzkin did so knowing that the amount collected from the organization were more than what his friend was owed, according to documents.

The document states that Nitzkin also initiated a wire transfer of more than $16,000 from the organization’s bank account and moved it to another bank to make a payment on his personal credit card.

Court records show that the organization sued Nitzkin for his actions, but later reached a settlement, the details of which were not disclosed.

Alan Sheppard, Nitzkin's attorney, told the Chicago Tribune that his client was "deeply devoted" to the non-profit and has since repaid the organization for monies that he allegedly took, the Tribune reported Friday.

"Grievances from his alleged mishandling of funds were addressed in a civil matter that was amicably settled," the attorney said, according to the report.

A message for Sheppard was not immediately returned to Patch on Friday. Nitzkin's LinkedIn profile states that he has worked as the chief executive officer of MVP Staffing, where he has worked since 2016, according to his profile. The profile shows no work history prior to 2016.