Scripps Heir Convicted for Embezzling Millions from Family

An heir to the Scripps media fortune was convicted last week by a federal jury in Philadelphia for embezzling $3.6 million from members of his family to fund his lavish lifestyle, according to New Jersey U.S. Attorney Paul J. Fishman.

Michael Scripps, 36, of Detroit, was convicted of seven counts of wire fraud.

Each count of wire fraud carries a maximum potential penalty of 20 years in prison and a $250,000 fine, or twice the gross gain or loss from the offense, according to Fishman's press release.

Scripps is scheduled to be sentenced on July 15. He could also be ordered to pay restitution to his victims as part of his sentence.

From November 2001 through October 2006, Scripps persuaded his uncle and mother to transfer millions of dollars in trust funds to the Merrill Lynch Trust Co. and brokerage firm, where his college friend Richard "Duke" Gleeson was a financial advisor in Media.

With Gleeson's assistance, Scripps used fraudulent authorizations to transfer his uncle’s and mother’s money to his own account at Merrill Lynch, resulting in $3.6 million in losses, according to Fishman.

Last summer, Gleeson pleaded guilty to two counts of wire fraud for his participation in the scheme and testified at Scripps' trial. His sentencing has not yet been scheduled.

The jury heard testimony that Scripps, who had his own six-figure trust fund plus a $3,900 monthly allowance, used his mother's millions to purchase expensive jewelry including Tiffany earrings, a diamond ring, and Cartier necklace for two women—his ex-wife who was a stripper, and a porn star, according to philly.com.

He also purchased a car, four properties in New Orleans, numerous vacations, college tuition, and plastic surgery for the women, according to philly.com.

The Scripps family is behind Scripps College and the Scripps Oceanography Institution in California and E.W. Scripps, which owns newspapers, television stations and sponsors the national spelling bee, according to philly.com.

Scripps' mother, Melissa, 62, serves as legal guardian to her autistic brother. Both received several million in the media company's sale.

Read more about the trial here on philly.com.

Fishman credited special agents of the Philadelphia FBI, Newtown Square Resident Agency, under the direction of Special Agent in Charge Edward J. Hanko, with the investigation leading to the conviction. The government was represented by Assistant U.S. Attorneys Terri Marinari and L.C. Wright of the U.S. Attorney’s Office for the Eastern District of Pennsylvania.