Nuns loan retirement savings to school

WORCESTER, Mass. (AP) - Roman Catholic nuns who were the alleged victims of a fundraising swindle have loaned their own retirement money to a school renovation project in Worcester.

The Venerini Sisters went forward with the renovation of the private school after a fundraiser they had hired, Michael Hlady, assured them he had lined up a $3 million donation from an anonymous donor.

Prosecutors said no such donor existed and Hlady, of Smithfield, R.I., was later charged with fraud, identity theft and larceny. He has pleaded not guilty.

The Venerini Sisters used the their retirement savings to make an interest free loan to pay builders who had sued the school. Those suits have since been settled,

The nuns hope to raise money in the future that would eventually repay the loan.