“The investigation appears to stem from a January 2016 complaint filed by Vermont Republican Party vice chair Brady Toensing on behalf of Catholic parishioner Wendy Wilton, a conservative activist and Rutland City treasurer,” a report from Vermont news organization Seven Days says. “Toensing alleged that O’Meara Sanders committed federal loan fraud by inflating the number of fundraising commitments she had secured to buy the 32-acre North Avenue campus from the Roman Catholic Diocese of Burlington. When those donations failed to materialize, the college defaulted on its loans — costing the church, which financed a portion of the sale, between $1.6 million and $2 million.”
O’Meara Sanders served as Provost and interim President of Goddard College from 1996 to 1997, and President of Burlington College from 2004 to 2011.
“Neither the FBI nor the U.S. attorney for the District of Vermont would comment on the matter. But according to Carol Moore, who served as the college’s final president until it closed last May, an FBI agent who contacted her “three or four weeks ago” called it “an ongoing investigation.””
“Moore said the focus of the feds’ questions was clear: “Was there any collusion between Jane Sanders and the bank?” Moore said, quoting the FBI agent. “Did she falsify records in order to get the loan from the bank?”