Former LI Private School Official Faces 25 Years For $8.4M Theft: DA

WEST ISLIP, NY — A former Long Island private school official who stole more than $8.4 million from the school over 11 years to finance a lavish lifestyle is due in court April 17 for sentencing, District Attorney Raymond Tierney said

David Ostrove, who was the former chief financial and technology officer for the Schechter School of Long Island in Williston Park, was found guilty by a jury March 12 of grand larceny and money laundering.

"While David Ostrove was entrusted to manage this money to benefit the children of the Schechter School, he was secretly lining his own pockets," Tierney said. "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."

With the money he stole, Ostrove bought and renovated five beach houses on Fire Island between 2018 and 2021; the homes were purchased under five different shell corporations, which helped to shield him from being identified as the owner, prosecutors said. The companies were incorporated with the New York State Department of State within days of the homes’ purchases.

Ostrove received about $600,000 in rental income on them, officials said.

He also bought a 1965 Mustang, a 2021 Lincoln Navigator and two Mercedes Benz vehicles, which he registered to his wife and daughter.

In addition, Ostrove used the funds for his daughter's college tuition; home equity payments for his West Islip residence; travel expenses; the purchase of expensive sports memorabilia and collectible coins, which he would then auction off for profit; purchases at high-end clothing and jewelry stores; limousine trips; and more than $1 million in cash withdrawals, Tierney said.

Ostrove was convicted of first-degree grand larceny and first-degree money laundering, Class B felonies, after a jury trial before Supreme Court Justice John B. Collins.

Additionally, Ostrove’s corporation, BND Street Investors, Inc., was found guilty of first degree money laundering, and his other corporations — TD Partners Equity, Inc., Elliso Holdings, Inc., Triangle Properties F.I., Inc., and Bayview Rentals Inc. — were each found guilty of second-degree money laundering, prosecutors said.

He is being represented by Ralph Franco, Esq., to whom Patch reached out for comment.

Justice Collins ordered Ostrove stay in jail until sentencing. He faces up to 25 years in prison. Ostrove is due back in court April 17, the DA's office said.