Finance director at $26,000-a-year Long Island private school is convicted of stealing $8MILLION to buy five houses on Fire Island, a fleet of classic cars and jewelry

The finance director of a prestigious Long Island private school has been convicted of stealing over $8 million to buy a portfolio of homes, classic cars and jewelry.

The fraudster David Ostrove, 52, spent 10 years as the CFO at $26,000-a-year Schechter School of Long Island, and during that time he siphoned millions from the school's coffers through shell corporations. 

He is facing up to 25 years in prison for the scheme, which saw Ostrove buy five lavish properties in Ocean Beach on New York's Fire Island, a 1965 Ford Mustang, and collections of sports memorabilia. 

Following his conviction, Suffolk District Attorney Raymond Tierney said: 'While David Ostrove was entrusted to manage this money to benefit the children of the Schechter School, he was secretly lining his own pockets.'

Fraudster David Ostrove, 52, was convicted on Tuesday for siphoning $8 million from his school's coffers through shell corporations

 Ostrove used the funds to purchase homes on Fire Island and rent them out, receiving over $600,000 in profit 

The prosecutor said he began the fraud scheme in 2014, using five different shell operations to siphon millions. 

According to a $35 million lawsuit the school filed against Ostrove in January, he would hide the funds by setting up a PayPal account in the school's name and depositing the stolen money into it. 

And in 2018, he also set up a gift-card scheme that raised money for the Schechter School, but also stole $1.58 million from the program using one of his shell corporations. 

The swindled $8 million also included fraudulent expense reports that saw him collect around $800,000, the lawsuit said. 

While the school's lawsuit is ongoing, he was found guilty on Tuesday of first-degree grand larceny and money laundering, and faces decades behind bars at his sentencing on April 17. 

'The jury here concluded that the defendant’s lavish lifestyle was funded using the tuition dollars of the hardworking parents of the Schechter School students, and thankfully, the jury held him accountable,' DA Tierney said Tuesday. 

Much of the ill-gotten gains went towards Ostrove's portfolio of five properties on Fire Island, including two worth $1.3 million and $1.8 million, within minutes of each other. 

One of Ostrove's Fire Island properties, worth $1.8 million 

Ostrove also owned this $1.2 million property, just minutes from his $1.8 million home 

The swindler also put the stolen money into sports memorabilia and a 1965 Mustang (seen in a stock image) 

The finance director now faces up to 25 years in prison for the 'chilling' fraud 

The finance director had used $1.4 million of his stole funds to upgrade the homes, but is said to have made upwards of $600,000 by renting out his Fire Island properties.  

Ostrove's spending spree also focused on rare collections of sports and political memorabilia, and cars including a classic 1965 Ford Mustang. 

His car collection was also made up of a Lincoln Aviator SUV and a Mercedes Benz. 

Ostrove's is said to have used some of the stolen money to pay for his own daughter's college as well. 

Before his conviction, the Schecter School told DailyMail.com that the mass fraud was 'chilling', and if convicted would have been 'guilty of something beyond the theft of cash: the destruction of trust.' 

The school added: 'While dollars have allegedly been embezzled, what can't be stolen is the future of the Schechter School.

'We will emerge from this experience stronger, wiser, and with a cautionary tale for every institution that today's online financial technology can be the burglar's weapon of choice.'