U.S. Attorney Philip R. Sellinger | U.S. Department of Justice
Pantaleo "Leo" Pellegrini, the former Director of Health and Human Services and Director of the Department of Environmental Services in Hoboken, has pleaded guilty to charges of embezzlement and filing a false tax return. The plea was entered before U.S. District Judge Michael E. Farbiarz in Newark federal court.
Court documents reveal that Pellegrini diverted payments meant for the City of Hoboken into personal bank accounts he controlled. He also submitted invoices for personal business expenses to the city, which were unknowingly paid by the municipality. Additionally, Pellegrini failed to report this embezzled money on his personal tax returns.
Pellegrini had oversight over several divisions within Hoboken's government, including cultural affairs, health, parks and recreation, rent leveling and stabilization, and senior services. This included management of public recreational facilities like soccer fields that required reservation fees.
The investigation found that Pellegrini redirected participant fees from an adult soccer league into a business account linked to him. He instructed an individual associated with the league to sign checks without specifying a payee so he could later fill in his own entity's name and deposit them.
Moreover, as owner and president of a private travel soccer club open to both Hoboken residents and non-residents, Pellegrini submitted fraudulent invoices for reimbursement by the city. Consequently, tens of thousands of dollars were paid out unknowingly by Hoboken for expenses related to his private club.
The charges against Pellegrini carry significant penalties. Embezzlement could result in up to 10 years in prison and fines up to $250,000 or twice the gross gain or loss involved. Filing a false tax return carries up to three years in prison with similar financial penalties. Sentencing is set for April 29, 2025.
U.S. Attorney Sellinger acknowledged the investigative efforts led by FBI special agents under Acting Special Agent in Charge Nelson I. Delgado and IRS-Criminal Investigation special agents under Special Agent in Charge Jenifer L. Piovesan.
Assistant U.S. Attorneys Mark J. McCarren and Matthew Specht from the Special Prosecutions Division are representing the government in this case.
