Toms River School District Files Insurance Claim to Recoup Ritacco Funds

The Toms River Regional School district has filed an insurance claim, in an attempt to recoup funds that former superintendent Michael J. Ritacco is accused of taking in a alleged bribery kickback scheme.

The claim is on the "dishonesty policy" of the school district's insurance package, which was taken out to specifically protect the district in the event of theft, illegal wrongdoing or ethical violations, said school board attorney Thomas Monahan.

The claim was filed Feb. 15, said Business Administrator William Doering, and it is through the district's insurance provider, Traveler's Insurance, through broker Connors Strong. The parameters of the dishonesty policy claim — such as total amount claimed, potential payment or other policy terms — was not released.

Ritacco pled not guilty to the 27-count indictment, which in addition to charges of wire and mail fraud and filing false tax returns, also alleges he took as much as $2 million in bribes in return for funneling contracts to the district's former insurance broker Francis X. Gartland. Gartland also faces charges and has plead not guilty. The trial is scheduled to begin the first week in April.

The idea of using the dishonesty policy was first discussed at a board meeting in , about three months after Ritacco retired from the spot of superintendent, the same day of his arrest.

Then, Monahan said the school district must wait to see the outcome of Ritacco's federal trial.

"The goal of all of this is to make sure we have something there, if they return a finding of guilt," Monahan said at the time.

The dishonesty policy was a long-standing part of the district's insurance package, officials said.

Doering said the district filled out the paperwork Feb. 15, directing the insurance company to the Ritacco indictment as part of its claim application.