State auditor finds nearly $4.2 million stolen former Cuyahoga Heights Schools by IT director

Cuyahoga Heights Schools seek criminal charges

CUYAHOGA HEIGHTS, Ohio - The Cuyahoga Heights Local School District held a school board meeting Wednesday night just one day after the Auditor of State Dave Yost released a report that alleges more than $4 million was stolen by the former IT director.

The report claims the Joseph Palazzo used school money to build a home and authorized 436 payments to seven companies for which the district received no goods or services. These companies were all owned by family and friends of Palazzo.

"This has devastated the entire community and it's our responsibility to clean it up and make sure this type of crime does not happen again," said Superintendent Dr. Edwin Holland.

"It is an absolute travesty that the children of this community have lost the use of this four million dollars," said Ben Rosalowski, a resident of Cuyahoga Heights.

The cry Wednesday night was for justice for all those who committed fraud in the district.

The State Auditor's full report can be found here: http://www.ohioauditor.gov/auditsearch/Reports/2012/Cuyahoga_Heights_LSD_07-11_Special_Cuyahoga_Report.pdf

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