By Justin Madden
(Reuters) - A former Detroit public school principal pleaded guilty on Thursday to taking nearly $200,000 in illegal kickbacks from a school supply vendor in a case that is the latest blow to the city's troubled schools.
Clara Smith, one of 13 current and former Detroit Public Schools principals charged in the case, pleaded guilty in federal court to charges of conspiracy to commit federal program bribery, and could face up to 5 years in prison, said Assistant U.S. Attorney Frances Lee Carlson.
Smith, 67, is the first of the 13 principals to enter a plea in the case. The alleged kickbacks came to light after the federal judge who oversaw Detroit's historic bankruptcy began to tackle the financial problems of the city's schools, which are drowning under $3.5 billion of debt.
Smith's attorney could not immediately be reached for comment.
Prosecutors said Smith, who was principal of Thirkell Elementary-Middle School from 2008 to 2016, helped business owner Norman Shy submit false invoices in exchange for kickbacks.
She is accused of taking about $194,000 in kicbacks from Shy between 2009 and 2015. Some of the false invoices were for supplies that were never delivered, or partially delivered.
A future plea date is scheduled for Shy.
All told, prosecutors said the 13 principals accepted gift cards, checks and cash from Shy totaling more than $900,000. Along with Shy, 74, the principals were charged in March in the case.
Beginning in 2002 and continuing until January 2015, the scheme involved business with DPS worth about $2.7 million, according to the U.S. Attorney's Office in Detroit, which worked with the Federal Bureau of Investigation and the Internal Revenue Service on the two-year investigation.
A spokeswoman for DPS said Smith retired from the district April 1. The other principals have either retired or are on unpaid administrative leave.
Smith is scheduled to be sentenced Sept. 7.
(Reporting by Justin Madden in Chicago; Editing by Sharon Bernstein and Andrew Hay)