No Subpoena in School Sports Scam

Cranford school officials will soon decide between two sports gear bids for the 2010 fall football season. One of the bids is from Schutt Sports, which acquired Circle Systems in 2005, according to The Record.

The Record reported earlier this week that federal prosecutors issued subpoenas to 12 districts last week in relation to its investigation into Circle System and its former president David Drill. Drill pleaded guilty last December in federal court in Newark, admitting that his company participated in fraudulent business practices including, among other things, overcharging schools for services.

According to the press release at that time from the U.S. District Attorney's office: "Drill admitted that the scheme involved inflated invoices, the creation of phony bid documents from competitors and the retention of ov erpayments by schools. Drill also said that he engaged in aspects of the fraud often with the knowing participation of school officials, including athletic directors, school administrators, purchasing officials and coaches with whom he and his sales force had fostered and maintained relationships over many years."

In addition, Circle did not properly conduct safety tests on the equipment it reconditioned. The company misreported helmet testing data in order to lower costs and increase profits.

Millburn, Cliffside Park and Lyndhurst school districts are among the others in New Jersey who were also issued subpoenas. In Millburn, school officials fought earlier this year to have football helmets returned after learning of the company's wrongdoings. Schutt Sports initially refused to do so until an invoice was paid, but the company eventually returned the equipment in May.

Scotch Plains-Fanwood Patch editor, Lindsay Wilkes-Edrington, contributed to this report.